Market Trends of North America Crane Rental Industry
This section covers the major market trends shaping the North America Crane Rental Market according to our research experts:
Construction Activities to Elevate Crane Rental Services in North America
Infrastructure spending by government and private players across the country is witnessing a notable rise in the past few years, thereby offering several growth opportunities for construction equipment manufacturers. Moreover, consumers are also preferring rental equipment over new considering the cost saving offered by crane rental service providers.
Several pipeline initiatives are helping the construction business to rise in North America. for instance:
- According to Statistics Canada, activity in the residential construction market was 7% above its pre-pandemic levels in December 2020; this compared to lower performance in other segments, including repair construction (+5.1%), etc. Major projects such as the Belle chasse Transport Centre in Montreal, Calgary's Complex Continuing Care Facility, and the new Brampton Transit Facility are just a few examples of USD 100 million+ projects.
- Big investments in construction are planned across Canada. For instance, in January 2022, the Governments of Canada and Alberta announced USD 52.7 million investment for the completion of several infrastructure projects through Canada Infrastructure Program. In addition, Community Infrastructure Improvement Fund (CIIF) has also embraced USD 150 million for the overall repair and improvement of community infrastructure facilities across the country.
- Recently in 2022, the United States Department of Labour announced new favorable rules and regulations for construction industry workers to propose new upcoming federal construction investments. Under this proposal, the government disclosed that the new regulations are good for workers, better for building high-quality infrastructure, and shall maintain a strong pace in construction activities to rebuild a new America. These strong initiatives undertaken by the government shall not only elevate the investment feasibility in the United States but also improve building and construction industry throughput.
Moreover, increasing demand by the construction site owner for cost-effective crane option, have pushed the rental firms to add new and technologically advanced crane to their fleet and create new schemes and plan to provide the best solution to the customer. Thus, considering these mentioned factors, demand for crane rental services is expected to witness a high growth rate owing to increased construction activities across North America.
United States is Projected to lead the North America Crane Rental Market
In terms of country, the United States is projected to hold the largest share during the forecast period, as the country has the largest number of skyscrapers in the world after China.
The construction sector revenue in the United States has increased over the few years. With the increasingly urban and rural population housing needs and rapid diversification of the region's business, the demand for construction activities in the region for residential, Industrial, and Commercial buildings has picked pace in the recent past.
In United States, Mining, Construction, and Offshore companies prefer long-term rental or leasing procedures of using the equipment over owning the equipment, due to the company's economics, which is a major restraint to the new equipment market and OEMs. Moreover, companies are integrating IoT and AI in their crushing machinery in order to make processes seamless, yet in the short-term perspective, this requires a high initial investment which adds up to the overall cost incurred in the production.
The country always has a demand for cranes that can perform the toughest urban infrastructure development projects at a certain time, Various rental companies are providing cranes for the construction of the country's upcoming skyscraper. For instance,
- In March 2022, United States Service Group of New York has acquired Walker Crane & Rigging of Plainville, Connecticut, on the southwest side of Hartford. This has helped the company to extend its crane rental services to felicitate upcoming opportunities in infrastructure developments.
Thus, considering these factors and developments, demand for crane rental services in United States is expected to witness improved sales bars during the forecast period.
