Germany Construction Equipment Market Report 2022: High Demand for Excavators Due to Mining, Construction, and Smart City Projects Fuels Growth

DUBLIN, Dec. 20, 2022 /PRNewswire/ -- The "Germany Construction Equipment Market - Strategic Assessment & Forecast 2022-2028" report has been added to  ResearchAndMarkets.com's offering.

The Germany construction equipment market is expected to grow at a CAGR of 3.89% during 2022-2028. Rising government investment in public infrastructure projects & 'Green Infrastructure Strategy' is expected to prompt construction equipment sales in Germany during the forecast period (2022-2028). The Germany construction equipment market share by units is expected to reach 101,807 units by 2028, growing at a CAGR of 4.02%.

The country's new government under the 'Federal Ministry for Housing, Urban Development and Building in 2022 has aimed to expand housing construction. It has planned to build 400,000 apartments every year. Under the Housebuilding subsector, investments grew by 39% in 2021, where the number of new flats and houses coming to the market doubled to more than 300,000 units. Such initiatives by the government give a significant boost to the Germany construction equipment market.

GERMANY GOVERNMENT INITIATIVES

• In 2021, the country invested approximately USD 12.5 billion in developing green buildings that must-have ESG (Environmental, Social, and Governance) compliant buildings. Germany is targeting to invest USD 220 billion by 2026 to support the industrial transformation, including climate protection, hydrogen technology, and expansion of electric vehicle charging stations.
• In 2021, the German government increased its public & transport infrastructure investment. The government has invested USD 68 billion to transform the German economy into a green economy by 2045.
• In 2022, the German government, in its Transport Infrastructure Plan, granted USD 324 billion in funding to improve roads, rails, and waterways over the next 15 years.
• In 2021, the European Union granted a relief package of USD 25.51 billion under the Germany Recovery & Resilience Plan, which supports construction & manufacturing activities in the country boasting the Germany construction equipment market. A budget of USD 578 million has been granted by the German government's road firm, Autobahn. This will aim to rebuild bridges across the network.

KEY HIGHLIGHTS

• In Germany construction equipment market, the earthmoving construction equipment segment accounted for the largest market share in 2021. In the Material Handling Segment, forklifts accounted for the largest share in 2021.
• Forklifts are compact equipment used for material handling in confined spaces such as small warehouses, & distribution centers. Germany is one of the most attractive logistics markets in the world due to its central location in Europe. It brings over USD 269.51 billion to the country's budget. German developer Goldbeck International is expected to complete the Flow Warehouse in Duisburg-Walsum for Maersk in 2023. The development of warehouses in Germany is expected to drive the demand for forklifts and telehandlers in the Germany construction equipment market.
• The project Digital Rail Germany, introduced in January 2020, aims to increase the performance of Germany's Rail Network by as much as 35%. In 2021, the German government announced a USD 324 billion national investment to improve roads, rails, and waterways over the next 10-15 years.

MARKET SEGMENTATIONS
Segmentation by Type

Earthmoving Equipment:

• Excavator
• Backhoe Loaders
• Motor Graders
• Other Earthmoving Equipment (Other loaders, Bulldozers, Trenchers)

Material Handling Equipment

• Crane
• Forklift & Telescopic Handlers
• Aerial Platforms

Road Construction Equipment

• Road Rollers
• Asphalt Pavers

End Users

• Construction
• Manufacturing
• Mining
• Others

MARKET TRENDS AND DRIVERS
Investment in Public Transport: Rails, Roads & Bridges

• The Germany Rail (Deutsche Bahn) and the federal government have targeted to spend USD 13.56 billion in 2022, which is a 6.3% increase compared to 2021. This investment by the government majorly focuses on renewing and modernizing Germany's rail infrastructure. The country has planned to mend bridges on much of the country's Autobahn network. A budget of USD 529.17 million has been set by the German Government's Road firm, Autobahn, in 2022.

High Demand for Excavators Due to Mining, Construction, and Smart City Projects

• Regardless of the Covid-19 impact, investment opportunities in the construction industry have attracted foreign investors who have aided the construction equipment market in 2021. The government's aid in the residential projects, rise in infrastructure construction, increase in FDI and surge in the rental investment of construction equipment is expected to lead the Germany construction equipment market
• The growing demand for excavators is attributable to the improvements in the mining and construction sectors and a few government projects like the smart city project. The smart city project is supported by the government's investment of USD 751.42 million. The mining industry consumes a large part of the excavator industry in Germany. Hard coal and lignite make up most of the mineral resources extracted in the country.

Investment in Green Infrastructure Strategy

• The country has targeted investing USD 220 billion by 2026 to support the industrial transformation, including climate protection, hydrogen technology, and electric vehicle charging station expansion. The construction machinery and building experienced a 22% increase from the previous year (2020) due to the infrastructure push with highways, dams, and green cities, which require tons of heavy machinery; such activities are contributing to the Germany construction equipment market.
• Germany and Indonesia have contracted to work on this Green Infrastructure Project, where approximately USD 2.7 billion worth of loan amount will be made accessible for the infrastructure related to climate and the environment. Some notable projects scheduled under this are Green Infrastructure at Leipzig, MoorFutures in Mecklenburg, and Urban GreenUP.

Adoption of Building Information Modeling (BIM) to Enhance Remote Monitoring & Digitization

• The German government has invested more than USD 4.94 million in Building Information Modeling (BIM) for public projects, mandating using digital technology to design and construct all projects. The Federal Ministry of Transport and Digital Infrastructure (BMVI) will aid medium and small-sized companies in integrating BIM to increase the productivity of construction processes and improve the quality of buildings constructed.

VENDOR LANDSCAPE

• Caterpillar has the strongest share in the German construction equipment market. Caterpillar, Volvo, Komatsu & Liebherr are the market leaders in the German industry, with a strong distribution network & provide a wide variety of products.

Key Vendors

• Caterpillar
• Liebherr
• Komatsu
• Volvo
• SANY
• Hitachi Construction Machinery
• Xuzhou Construction Machinery Group Co. Ltd. (XCMG)
• Hyundai Construction Equipment
• JCB

Other Prominent Vendors

• Kobelco
• CNH Industrial
• Manitou
• Takeuchi Manufacturing
• Liu Gong
• Yanmar

Distributors Profiles

• Tecklenborg Construction and Industrial Machines
• KUHN- BAUMASCHINEN.DE
• Schluter Baumaschinen GmbH
• SWECON
• Thomas Baumaschinen

Key Topics Covered:

1. Introduction

2. The Market Overview

3. Market Landscape

4. Market Dynamics

5. Technology Development

6. Competitive Landscape

7. Quantitative Summary

8. Report Summary

9. Report Scope & Definition

For more information about this report visit https://www.researchandmarkets.com/r/s84rai

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SOURCE Research and Markets