According to a new report published by Allied Market Research, titled, “Mini Excavators Market by Capacity, and End-User Industry: Opportunity Analysis and Industry Forecast, 2020–2027,” the global mini excavators market size is expected to reach $11.9 billion in 2027 from $9.0 billion in 2019, growing at a CAGR of 5.4% from 2020 to 2027.
Mini excavators are compact and robust construction equipment that facilitate assistance in performing tasks and operations that were earlier suitable for heavy construction equipment or were labor intensive. Hence, mini excavators have large scope of applications among various activities, such as landscaping, digging, loading/unloading, material handling, and demolition across different industries. The global mini excavators market is anticipated to grow, owing to rapid urbanization and increase in infrastructure development projects. For instance, the Russia construction industry is expected to reach $182.62 billion with a CAGR of 2.8% from 2015 to 2024.
Increase in demand for compact and robust equipment from various end users such as agriculture and construction is projected to drive the mini excavators market during the forecast period. Moreover, numerous ongoing construction and infrastructure development such as New Sharjah Airport and Wuhan Urban Rail Project are also anticipated to fuel the demand for mini excavators in coming years, especially in Asia and the Middle East. In addition, factors such as rapid urbanization and fast-growing construction industry in Asia-Pacific are expected to global mini excavators market. Moreover, growth in tourism significantly boosts investments toward infrastructure development projects in the Middle East, Asia-Pacific, and other regions, which, in turn, boosts demand for mini excavators.
Major players are focused on offering application specific mini excavators, which, in turn, is expected to garner to the growth of the mini excavators market. For instance, in August 2020, Takeuchi Mfg. Co Ltd., launched a new TB275FR hydraulic excavator with 5.6 tons of weighing capacity and 36.6 KN force. This new excavator has tight swing that enables it to rotate fully with little overhang capacity and are suitable for construction and landscaping applications.
Further, mini excavators have features such as compactness, robustness, and ease to relocate. Mini excavators are used in various applications such as digging and drilling, which are expected to boost growth of the market. Major players are engaged in offering electric mini excavators. For instance, in April 2018, Volvo construction equipment, a subsidiary of AB Volvo launched a new ECR18eE compact excavator in Intermat Exhibition in Paris. It had s compact design with a capacity of weighing 1.8 tons. It requires less maintenance with 50 hours greasing interval. However, unskilled operators and technicians is anticipated to restrain growth of the mini excavators market. New innovations in mini excavators such as remote controlled and driverless mini excavators are expected to provide lucrative opportunities for the market players.
The novel coronavirus impacted on manufacturers of the mini excavators market to avert their business processes, owing to prolonged lockdown imposed by governments around the globe to break the chain of coronavirus. This is expected to directly impacted on the sales of mini excavators. Moreover, there is a stoppage in manufacturing of mini excavators, owing to shortage of raw materials and lack of manpower. However, halt in commercial construction buildings is anticipated to hamper the demand for mini excavators.
The global mini excavators market is segmented based on capacity, end-user industry, and region. Based on capacity, the market is bifurcated into more than 4 tons, and less than 4 tons. By capacity, more than 4 tons segments having highest revenue in 2019. Based on end-user industry, the market is divided into landscaping & construction, agriclutre, and others. By end-user industry, the landscaping & construction segment having highest revenue in 2019.
The global mini excavators industry is analyzed across North America (the U.S., Canada, and Mexico), Europe (the UK, Germany, France, Russia, and rest of Europe), Asia-Pacific (China, India, Japan, and rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa).
Key Findings Of The Study
- By capacity, the more than 4 tons segment dominated the global mini excavators market share in 2019.
- On the basis of end-user industry, the landscaping & construction segment is expected to generate high revenue in 2019.
- Region wise, Asia-Pacific dominated the market in 2019.
The key players profiled in this report include AB Volvo Group, Caterpillar Inc, Cukurova Ziraat, Deere & Company, Hitachi Construction Machinery Co Ltd, Hyundai Construction Equipment Co Ltd, J C Bamford Excavators Ltd, Kobe Steel Ltd, Komatsu Ltd, and Takeuchi Mfg. Co Ltd. These players in the global mini excavators market adopted product launch, product development, and business expansion as their key developmental strategies to meet change in demands from consumers. For instance, in December 2019, Hitachi Construction Machinery Co Ltd., a subsidiary of Hitachi Ltd. launched a new battery powered mini excavator prototype of 5 tons and battery capacity of 39 kw h. It is suitable for commercial and residential applications.