Electric Construction Equipment Global Market Report 2024

The electric construction equipment market size has grown exponentially in recent years. It will grow from $9.2 billion in 2023 to $11.34 billion in 2024 at a compound annual growth rate (CAGR) of 23.3%. The growth observed in the historical period can be attributed to environmental sustainability initiatives, cost savings and operational efficiency, stringent emission standards, noise reduction, and improved worksite conditions, as well as government incentives and support.

The electric construction equipment market size is expected to see exponential growth in the next few years. It will grow to $24.93 billion in 2028 at a compound annual growth rate (CAGR) of 21.8%. The anticipated growth in the forecast period can be attributed to infrastructure development and urbanization, advancements in battery technology, the rise in construction industry digitization, the global push for green and renewable practices, and increased awareness and education. Major trends in the forecast period include integration with advanced manufacturing processes, an emphasis on cost-effective and efficient bonding, a focus on health and safety, and a shift towards bio-based and renewable materials.

The surge in construction activities worldwide is anticipated to drive the expansion of the electric construction equipment market in the coming years. The construction sector encompasses the industry and trade involved in creating, maintaining, and repairing infrastructures. The growing construction industry amplifies the demand for electric construction equipment, given their versatility in various tasks and procedures on a construction site, including rehabilitation, assembly, and precise measurements (such as rangefinder functions) during the installation of plumbing systems, among others. As an illustration, in June 2021, Statistics Canada reported a 2.7% increase in investment in Canadian building construction, reaching $20.9 billion in April 2022. Similarly, according to the United States Census Bureau, U.S. spending on construction witnessed a notable 9.3% increase from November 2020 to November 2021. These statistics highlight the global trend of growing construction industries, acting as a catalyst for the electric construction equipment market's growth.

The upward trajectory in fuel prices is poised to drive the growth of the electric construction equipment market in the foreseeable future. The construction industry, facing the challenge of rising fuel prices, is increasingly turning to electric construction equipment as a cost-effective and efficient alternative. Electric equipment presents advantages such as lower operating and maintenance costs, reduced energy expenses, and decreased emissions, making it an appealing solution amid the escalating costs of traditional fuel. For example, in August 2022, the US Department of Transportation reported unprecedented increases in motor fuel prices, with regular motor gasoline experiencing a surge of 49%, and diesel fuel seeing a slightly higher spike at 55% between January and June. This surge marked a noteworthy reversal from the decline observed in early 2020, a period marked by economic recession and widespread stay-at-home orders in response to the COVID-19 pandemic.

Product innovation has become a prominent trend gaining traction in the electric construction equipment market. Major companies within the sector are dedicated to developing cutting-edge products that align with customer demands. A notable example is Hitachi Construction Machinery Co., Ltd., a Japan-based construction equipment company, which, in July 2022, introduced the ZX55U-6EB, a five-ton battery-powered excavator. This new model showcases exceptional maneuverability in confined spaces, inheriting the short tail swing feature from the ZX55U-6 model. The ZX55U-6EB empowers customers to engage in a diverse range of projects, including urban construction sites, residential building projects, and waste material management initiatives, especially in areas where environmental considerations are a priority.

Major players in the electric construction equipment market are actively developing innovative products integrated with advanced technologies, such as remote-controlled equipment, machines, or vehicles operated from a distance through electrical or radio signals. This technology finds application across various industries, including construction, to enhance worker safety and productivity by enabling operators to control machines from outside the cab or in hazardous environments. As an illustration, in March 2022, Komatsu introduced the PC05E-1 electric micro excavator, an expanded model of the PC01E-1 electric micro excavator. Powered by the Honda Mobile Power Pack and the Honda eGX electrified power unit, the PC05E-1 achieves a significant reduction in noise and heat emissions. Designed for small-scale civil engineering and construction tasks, as well as gas, electrical, and pipe-laying work, this machine aims to broaden the market for electric construction equipment.

In May 2022, Volvo Construction Equipment, a Sweden-based company specializing in the development, manufacturing, and marketing of equipment for construction and related industries, acquired Limach for an undisclosed amount. This strategic acquisition is poised to accelerate Volvo's expansion in the electric construction equipment sector, particularly in enhancing its lineup of five electric small machines. Limach, a Netherlands-based manufacturer, specializes in electric excavators, complementing Volvo's commitment to advancing electrified construction machinery.

Major companies operating in the electric construction equipment market report are Toyota Motor Corporation, Deere & Company, Caterpillar Inc., Guangxi Liugong Machinery Co., Ltd., Komatsu Ltd., CNH Industrial N.V., Yanmar Construction Equipment Co. Ltd., Kubota Corporation, Liebherr-International AG, Xuzhou Construction Machinery Group Co., Ltd., Hitachi Construction Machinery Co., Ltd., Bobcat Company, Zoomlion Heavy Industry Science and Technology Co., Ltd., SANY Heavy Industry Co., Ltd., J C Bamford Excavators Ltd., Terex Corporation, Hyster-Yale Materials Handling, Inc., Hyundai Construction Equipment Co., Ltd., Lovol Heavy Industry Co., Ltd., Manitou Group, Wacker Neuson SE, Shantui Construction Machinery Co., Ltd., Volvo Construction Equipment AB, Doosan Infracore Co., Ltd., Sunward Intelligent Equipment Co., Ltd., Haulotte Group, Shandong Lingong Construction Machinery Co., Ltd., Mustang Machinery Co., Ltd., Xtreme Manufacturing, King Machinery Co., Ltd.

Europe was the largest region in the electric construction equipment market share in 2023. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the electric construction equipment market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electric construction equipment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Electric construction equipment encompasses various product types, including track loaders, excavators, backhoe loaders, skid steers, wheel loaders, and telehandlers. Track loaders share a resemblance with skid steers in terms of shape, but each possesses distinct attributes. Track loaders, known for their strength, come in a variety of models suitable for tasks such as unloading trucks, digging, lifting, grading, and bulldozing. The equipment types within the electric construction category include electric excavators, electric motor graders, electric dozers, electric loaders, electric dump trucks, and electric load-haul-dump loaders. These are further categorized based on engine capacity, with divisions into less than 5 L, 5 to 10 L, and greater than 10 L. Additionally, power outputs are classified into ranges of 50 HP, 50-150 HP, 150-300 HP, and greater than 300 HP.

The electric construction equipment market research report is one of a series of new reports that provides electric construction equipment market statistics, including the electric construction equipment industry global market size, regional shares, competitors with electric construction equipment market share, detailed electric construction equipment market segments, market trends, and opportunities, and any further data you may need to thrive in the electric construction equipment industry. This electric construction equipment market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The electric construction equipment market consists of sales of mining trucks and forklifts. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.