The global automated construction equipment market is experiencing significant growth and is expected to grow considerably in next few years. Automated construction equipment is a machine that is involved in some kind of construction activity. These machines can operate autonomously as well as remotely with an operator. This is possible due to the incorporated of advanced communication technology and artificial intelligence into them. Automated technology can be integrated into cranes, excavators, and trucks that are extensively used for various construction activities. Moreover, the availability of various automation technologies is fueling the demand for automated construction equipment. In addition, automation improves the efficiency of the equipment and eliminates the need for human intervention during the operation, thereby, reducing the total cost of the construction project. Moreover, automated construction equipment is highly advanced machinery. Major players in the automated construction equipment industry adopt advanced technologies to increase efficiency and productivity of their products to sustain the competition in the automated construction equipment market.
Market Scope and Structure Analysis
Automated construction equipment consists of automation technologies such as AI or IOT to perform all the general tasks as would be performed by any other conventional equipment. This equipment can be used for a variety of jobs, such as road construction, building construction, and tower erection. Furthermore, many companies offer automation kits, which can convert ordinary machinery into an automated machine. Moreover, the major user of this equipment is construction industry, be it for manufacturing plant construction or residential construction.
COVID-19 Impact analysis
- The COVID-19 pandemic ceased the production of various products in the automated construction equipment industry, which is attributed to the global. This has hampered the growth of automated construction equipment market in the years and a similar trend is expected to be seen in the first half of 2022.
- The major demand for automated construction equipment was previously noticed from giant developed and developing countries including the U.S., Germany, Italy, the UK, India and China, which are negatively affected by the spread of the coronavirus, thereby declining the demand for automated construction equipment.
- Further, potential long-term impact of the lockdown is currently vague and financial recovery of companies is totally based on their cash reserves. Automated construction equipment manufacturers can afford a lockdown only for a few months, after which the players have to modify their investment plans. For instance, various players in the market halted their production activities for several weeks to reduce their expenses. On the contrary, few players adopted employee lay-offs to sustain themselves during the COVID-19 health crisis.
- Automated construction equipment manufacturers are expected to focus on protecting their workforce, operations, and supply chains to respond to immediate crises and find new ways of working after COVID-19. For instance, provision of sanitizers, maintaining social distancing, as well as ensuring the vaccination of every employee in the company can assist in promoting the health & safety of the workforce.
Top Impacting Factors
Increase in private-public partnerships (PPPs) to promote infrastructural development is one of the important driving factors for infrastructural development. Consequently, this results in an increase in construction activities. PPPs have been successfully implemented in various countries, such as South Korea, and India. The boost in PPPs sparked investments through private channels that assist in boosting the infrastructure industry, thereby driving the demand and growth of automated construction equipment market. Moreover, the remotely operable feature of automated construction equipment can keep workers safe in hazardous work environments. This is anticipated to boost the demand of automated construction equipment over the traditionally used equipment. Automated construction equipment assists in quick completion of work at relatively lower costs. This feature of greater efficiency and productivity of autonomous construction equipment is also boosting the demand for automated construction equipment. However, the dearth of skilled labor for efficient operation of automated construction equipment is one of the restraining factors hindering the growth of automated construction equipment market. Contrarily, technological developments in automated construction equipment products, such as advanced communication systems, use of the internet of things (IoT), and artificial intelligence (AI), boost the efficiency and productivity of the equipment. This is anticipated to create lucrative opportunities for the automated construction equipment market growth during the forecast period.
- Major players in the industry are launching new products that have improved capabilities. Manufacturers are focused on improving overall functionality of the products. For instance, in June 2020, Volvo Autonomous Solutions launched a self-driving and electric-powered load carrier called TA15. This load carrier uses sensors such as GPS, lidar, and radar to move autonomously. This is aimed at strengthening product offerings by VOLVO to sustain the competition in automated construction equipment market.
- Similarly, key players in automated construction equipment market adopted acquisition as their key developmental strategy to expand their geographical foothold and upgrade their product technologies. For instance, in June 2020, Caterpillar Inc. acquired select assets and hired employees from Marble Robot, a California based robot and autonomy technology solutions company. This acquisition is expected to help Caterpillar expand itself in autonomous construction equipment market.
- Moreover, business partnership strategies assist companies in enhancing their product offerings. For instance, In June 2019, Mortenson, a U.S.-based contractor and builder in the renewable energy sector, partnered with Built Robotics, a San Francisco-based developer of autonomous robotic equipment technology. Under this partnership, Built Robotics is anticipated to provide custom-made autonomous conversion kits for the bulldozers and other construction equipment operated by Mortenson.
Key Benefits of the Report
- This study presents the analytical depiction of the automated construction equipment industry along with the current trends and future estimations to determine the future investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the automated construction equipment market share.
- The current market is quantitatively analyzed to highlight the automated construction equipment market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed automated construction equipment market analysis based on competitive intensity and how the competition will take shape in coming years.
Automated Construction Equipment Market Report Highlights
By Autonomous Type
By Production Type
By Application Type
By Business Type
By End-user Industry