Construction Equipment Rental Market Size (2024 - 2029)

The construction equipment rental market is projected to experience growth driven by the expanding construction industry, particularly in developing countries, where opportunities in residential, non-residential, and infrastructure sectors are increasing. Government investments in infrastructure projects, such as those in the United States and China, are expected to boost demand for rental services. Additionally, the trend towards automation in construction is anticipated to further propel market expansion. However, the market may face challenges due to stringent emission regulations on construction machinery. The emphasis on infrastructure development and technological advancements in urban planning are also contributing to the market's growth trajectory.

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Market Size of Construction Equipment Rental Industry

Construction Equipment Rental Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 134.88 Billion
Market Size (2029) USD 170.92 Billion
CAGR (2024 - 2029) 4.85 %
Fastest Growing Market Asia-Pacific
Largest Market Asia-Pacific

Major Players

Construction Equipment Rental Market Major Players

*Disclaimer: Major Players sorted in no particular order

Construction Equipment Rental Market Analysis

The Construction Equipment Rental Market size is estimated at USD 134.88 billion in 2024, and is expected to reach USD 170.92 billion by 2029, growing at a CAGR of 4.85% during the forecast period (2024-2029).

Over the medium term, the key factor propelling the market's growth is the expanding construction industry, particularly in developing nations, due to several growth opportunities in residential, non-residential, and infrastructure industries. For instance, there is an increase in the construction of multi-family houses (with the growing trend of nuclear families), along with increasing investments in the construction of expressways, bridges, metros, smart cities, highways, and roads, owing to increasing population and urbanization.

The governments are increasing their spending on construction activities, which will likely drive the demand for construction equipment rental services.

The US government passed the Infrastructure Investment and Jobs Act. This bill costs USD 1.2 trillion, including USD 550 billion for transportation, broadband, and utilities, USD 110 billion for roads, bridges, and other major infrastructure projects, and USD 40 billion for bridge repair and replacement. The bill also includes more than USD 65 billion in funding for power infrastructure, including USD 29 billion for the electricity grid. The bill authorizes federal investments in a variety of infrastructure projects, which are expected to increase demand for construction services, equipment, and materials. As a result, construction spending rose by 5% in 2022 and 5.5% in 2023.

Similarly, the Chinese government invested USD 8,870 million in the Shanghai Chip Manufacturing Plant. In Shanghai, China, a 12-inch wafer manufacturing plant is being built as part of the project. Construction began in the first quarter of 2022, and it is expected to be completed in the third quarter of 2024. The project aims to increase the 12-inch wafer production capacity to meet rising demand.

The rising trend toward automation is anticipated to fuel the market's growth. However, stringent emission regulations for construction machinery are anticipated to hamper the market’s growth during the forecast period.

The growing emphasis on infrastructure, as well as the advancement of automation in construction and manufacturing processes, has significantly impacted construction equipment rental market growth in Asia-Pacific.

Schemes such as the revolutionary Smart City Mission (target 100 cities) are expected to improve quality of life through modernized/technology-driven urban planning, which may result in the growth of the construction equipment rental market.

Construction Equipment Rental Industry Segmentation

Construction equipment rental means a site for the retrieval and storage of large vehicles or large pieces of machinery usually related to construction that are available for the public's use, which may include complementary and additional retail activities.

The construction equipment rental market is segmented by vehicle type (earth moving equipment and material handling equipment), drive type (IC engine and hybrid drive), and geography (North America, Europe, Asia-Pacific, and Rest of the World). The report offers market size and forecasts for the construction equipment rental market in value (USD billion) for all the above segments.

By Vehicle Type
Earthmoving Equipment
Backhoe
Loaders
Excavators
Other Earthmoving Equipment
Material Handling
Cranes
Dump Trucks
By Drive Type
IC Engine
Hybrid Type
By Geography
North America
United States
Canada
Mexico
Rest of North America
Europe
Germany
United Kingdom
France
Spain
Italy
Rest of Europe
Asia-Pacific
China
Japan
India
Australia
South Korea
Rest of Asia-Pacific
South America
Brazil
Argentina
Rest of South America
Middle East and Africa
United Arab Emirates
South Africa
Rest of Middle East and Africa
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Construction Equipment Rental Market Size Summary

The construction equipment rental market is poised for significant growth over the forecast period, driven by the expanding construction industry, particularly in developing regions. This growth is fueled by increased government spending on infrastructure projects, such as expressways, bridges, and smart cities, which are essential to accommodate rising urban populations and urbanization trends. The market is also benefiting from advancements in automation and the push towards sustainable construction practices, with internal combustion engines remaining a dominant power source despite stringent emission regulations. The Asia-Pacific region, in particular, is experiencing a surge in infrastructure development, supported by government initiatives and investments, which are attracting international players to establish a presence in the region.

The market landscape is characterized by strategic expansions and investments by major players, as they seek to capture the growing demand for construction equipment rental services. Companies are focusing on fleet expansions, mergers, and regional expansions to strengthen their market positions. The introduction of innovative solutions, such as online rental services and marketplaces, is further enhancing market dynamics. As the demand for construction equipment continues to rise, driven by urbanization and infrastructure development, the market is expected to see continued investment and growth, with key players actively pursuing opportunities to expand their operations and offerings.

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Construction Equipment Rental Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Drivers

      1. 1.1.1 Growth in Construction Industry

    2. 1.2 Market Restraints

      1. 1.2.1 High Maintenance Cost of Construction Equipment

    3. 1.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.3.1 Threat of New Entrants

      2. 1.3.2 Bargaining Power of Buyers/Consumers

      3. 1.3.3 Bargaining Power of Suppliers

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION (Market Values in USD million/billion)

    1. 2.1 By Vehicle Type

      1. 2.1.1 Earthmoving Equipment

        1. 2.1.1.1 Backhoe

        2. 2.1.1.2 Loaders

        3. 2.1.1.3 Excavators

        4. 2.1.1.4 Other Earthmoving Equipment

      2. 2.1.2 Material Handling

        1. 2.1.2.1 Cranes

        2. 2.1.2.2 Dump Trucks

    2. 2.2 By Drive Type

      1. 2.2.1 IC Engine

      2. 2.2.2 Hybrid Type

    3. 2.3 By Geography

      1. 2.3.1 North America

        1. 2.3.1.1 United States

        2. 2.3.1.2 Canada

        3. 2.3.1.3 Mexico

        4. 2.3.1.4 Rest of North America

      2. 2.3.2 Europe

        1. 2.3.2.1 Germany

        2. 2.3.2.2 United Kingdom

        3. 2.3.2.3 France

        4. 2.3.2.4 Spain

        5. 2.3.2.5 Italy

        6. 2.3.2.6 Rest of Europe

      3. 2.3.3 Asia-Pacific

        1. 2.3.3.1 China

        2. 2.3.3.2 Japan

        3. 2.3.3.3 India

        4. 2.3.3.4 Australia

        5. 2.3.3.5 South Korea

        6. 2.3.3.6 Rest of Asia-Pacific

      4. 2.3.4 South America

        1. 2.3.4.1 Brazil

        2. 2.3.4.2 Argentina

        3. 2.3.4.3 Rest of South America

      5. 2.3.5 Middle East and Africa

        1. 2.3.5.1 United Arab Emirates

        2. 2.3.5.2 South Africa

        3. 2.3.5.3 Rest of Middle East and Africa

Construction Equipment Rental Market Size FAQs

The Construction Equipment Rental Market size is expected to reach USD 134.88 billion in 2024 and grow at a CAGR of 4.85% to reach USD 170.92 billion by 2029.

In 2024, the Construction Equipment Rental Market size is expected to reach USD 134.88 billion.

Construction Equipment Rental Market Report Snapshots

Construction Equipment Rental Market Size - Industry Report on Share, Growth Trends & Forecasts Analysis (2024 - 2029)