Unsteady ground: Rising imports and volatile exports have created shaky conditions

The Construction Machinery Manufacturing industry has been challenged by the appreciating US dollar and exchange-rate dynamics in recent years. These factors cut into industry exports and increased the penetration of low-cost imports into the market, putting price-competitive pressure on domestic manufacturers of industry products. Due to these conditions, new operators have been hesitant to join the industry, fearful that another collapse in construction markets could lead to the same consolidation the industry experienced over the past decade. The industry is expected to rebound somewhat over the five years to 2023 as the value of residential and nonresidential construction improves, creating greater demand for industry products...purchase to read more.

Industry Statistics & Market Size
Revenue
$32bn
Annual Growth 13-18
-3.1%
Forecast Growth 18-23
Profit
Employment
61,849
Businesses
789

Industry Threats & Opportunities

  • The industry will grow as the value of residential and nonresidential construction improves
  • The industry is now experiencing a high level of competition from international producers
  • Growth in nonresidential construction is expected to drive industry demand
  • Industry Report - Industry Key Buyers Chapter

    The Construction Machinery Manufacturing industry displays a low-to-moderate level of market share concentration. The four largest players in the industry are estimated to account for close to 50.0% of industry revenue in 2018. The industry also has a number of smaller players, the most notable being CNH Industrial NV (CNH) and Terex Corporation, each controlling less than 5.0% market share.Over the past five years, the level of market share concentration has increased somewhat within the industry. Though major companies have been active in mergers and acquisitions to increase market share, declining year-over-year revenue for major players has served to water down their respective market share. How...purchase to read more.

    Additional Insights for the Construction Machinery Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Construction Machinery Manufacturing Industry are

  • Latest available technology and techniques
  • Meeting environmental requirements
  • Establishment of export markets
  • IBISWorld analysts also discuss how external factors such as Trade-weighted index and Value of private nonresidential construction in the Construction Machinery Manufacturing industry impact industry performance..

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    What's in this report

    What is the Construction Machinery Manufacturing Industry?

    Industry operators manufacture construction machinery and equipment for use in residential, nonresidential, highway, street and other infrastructure construction.

    Industry Products
  • Power cranes, draglines and shovels
  • Other construction machinery and equipment
  • Tractor shovel loaders
  • Wheel and crawler tractors, dozers and log skidders
  • Motor graders and light maintainers, rollers and compactors
  • Mixers, pavers and related equipment
  • Parts for other construction machinery
  • Industry Activities
  • Backhoe
  • Bucket and excavator (e.g. clamshell, concrete, drag scraper, dragline and shovel)
  • Bulldozer
  • Construction-type crane
  • Portable crushing, pulverizing and screening machinery
  • Logging machinery
  • Roller, road construction and maintenance machinery
  • Power shovel
  • Crawler tractor
  • Off-highway truck
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Trade-weighted index
  • Value of private nonresidential construction
  • Value of residential construction
  • Value of utilities construction
  • Yield on 10-year Treasury note
  • Government funding for highways

  • Current Performance
  • Expanding markets
  • Exchange rate dynamics
  • Domestic developments
  • Chart: Revenue Growth

  • Industry Outlook
  • Domestic activity
  • Trade conditions
  • Industry structure
  • Table: Construction Machinery Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Construction Machinery Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction
  • Construction & Mining Equipment Wholesaling
  • Heavy Equipment Rental

  • Key Selling Industries
  • Engine & Turbine Manufacturing
  • Metal Stamping & Forging
  • Power Tools & Other General Purpose Machinery Manufacturing
  • Steel Rolling & Drawing
  • Wind Turbine Manufacturing

  • Products & Services
  • Power cranes, draglines and shovels
  • Other
  • Wheel and crawler tractors, dozers and log skidders
  • Other construction machinery and equipment
  • Tractor shovel loaders
  • Parts for other construction machinery
  • Motor graders and light maintainers, rollers and compactors
  • Mixers, pavers and related equipment
  • Chart: Construction Machinery Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports
  • Residential construction
  • Infrastructure construction
  • Commercial construction
  • Forestry
  • Municipal construction
  • Chart: Major Market Segmentation for the Construction Machinery Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and utilitiesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Construction Machinery Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Construction Machinery Manufacturing Industry

  • Industry Globalization
    Caterpillar Inc., Deere & Company, Komatsu Ltd.,
  • Table: Caterpillar Inc. - financial performance
  • Table: Deere & Company - financial performance
  • Table: Komatsu Ltd. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Construction Machinery Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Construction Machinery Manufacturing Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • World Price of Steel (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Dozer
  • A machine with a long blade that creates a flat surface.
  • North American Free Trade Agreement (Nafta)
  • A generally duty-free agreement signed by the governments of Canada, Mexico and the United States, creating a trilateral trade bloc in North America.
  • Safetea-Lu
  • An abbreviation for the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, a federal multiyear transport infrastructure funding program. Enacted in 2005.
  • Tractor Shovel Loaders
  • Construction equipment that includes different loader-backhoes, such as skid steer, wheel and crawler.
  • Us Environmental Protection Agency (Epa)
  • A government agency designed to protect human health and safeguard the natural environment.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Construction Machinery Manufacturing Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Construction Machinery Manufacturing industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Construction Machinery Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Construction Machinery Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Construction Machinery Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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