Excavation and Demolition Market Report 2026

The excavation and demolition market size has grown steadily in recent years. It will grow from $539.7 billion in 2025 to $552.8 billion in 2026 at a compound annual growth rate (CAGR) of 2.4%. The growth in the historic period can be attributed to growth in urban construction activity, expansion of transportation infrastructure, rising demand for industrial facility development, increased demolition of outdated buildings, adoption of mechanized earthmoving equipment.

The excavation and demolition market size is expected to see steady growth in the next few years. It will grow to $617.95 billion in 2030 at a compound annual growth rate (CAGR) of 2.8%. The growth in the forecast period can be attributed to increasing investment in large infrastructure programs, rising focus on sustainable demolition practices, greater adoption of autonomous construction machinery, expansion of commercial real estate development, growing demand for precision excavation technologies. Major trends in the forecast period include growing demand for large-scale land development projects, increased use of advanced blasting and excavation techniques, rising need for demolition services in aging urban infrastructure, expansion of commercial and industrial site preparation activities, growth in earthmoving requirements for infrastructure modernization.

The increasing growth of the mining industry is expected to drive the expansion of the excavation and demolition market in the coming years. Mining operations involve extracting valuable minerals, ores, or other geological materials from the earth, typically from ore bodies, lodes, veins, seams, reefs, or placer deposits. Excavation and demolition are vital processes within the mining sector, supporting activities such as site preparation, mineral extraction, infrastructure development, and environmental management. For example, in 2023, according to the Society for Mining, Metallurgy & Exploration, a U.S.-based nonprofit professional society, the estimated total value of nonfuel mineral production in the United States increased by 4% in nominal terms to $105 billion, up from a revised $101 billion in 2022. Therefore, the rising growth of the mining industry is contributing to the expansion of the excavation and demolition market.

Major companies operating in the excavation and demolition market are prioritizing the development of innovative solutions such as closed-loop material recovery to improve resource efficiency, reduce waste, and advance sustainable construction practices. Closed-loop material recovery is a sustainable process in which materials generated from demolition or excavation are reclaimed, recycled, and reused within the same or similar production cycles, thereby minimizing waste and decreasing reliance on virgin resources. For example, in December 2023, Boral, an Australia-based integrated construction materials company, introduced its Circular Materials Solution (CMS), an end-to-end system designed to handle demolition and excavation waste and convert it into recycled or reclaimed building products for more sustainable commercial outcomes. This solution diverts construction waste, including concrete, sand, brick, and recycled asphalt pavement, from landfills by reprocessing, sorting, washing, and blending these materials at Boral’s network of 14 recycling facilities across Australia. The resulting low-carbon, recycled construction materials are then reintroduced into the industry, supporting more sustainable building projects and reducing CO₂ emissions.

In September 2024, Epiroc, a Sweden-based provider of equipment, services, and solutions for mining and infrastructure industries, acquired ACB+ for an undisclosed amount. This acquisition aligns with Epiroc's strategy to expand its portfolio of productivity-enhancing products. It is expected to strengthen Epiroc’s ability to offer a broader range of attachments and quick couplers, which will enhance operational efficiency and customer satisfaction. ACB+ is a France-based company specializing in the manufacturing of excavator attachments.

Major companies operating in the excavation and demolition market are VINCI SA, Actividades de Construcción y Servicios S.A., Bechtel Group Inc., Hochtief AG, Skanska AB, Balfour Beatty plc, Bouygues Construction SA, Kiewit Corporation, Koninklijke BAM Groep, Laing O’Rourke plc, Eiffage SA, Acciona SA, China Railway Construction Corporation Limited, Ferrovial SA, Independence Demolition Inc., NorthStar Group Services Inc., Brandenburg Industrial Service Company, Penhall Company, Granite Construction Inc., AECOM Inc., Jacobs Engineering Group Inc., Fluor Corporation, Turner Construction Company, Clark Construction Group LLC, PCL Construction Enterprises Inc., McCarthy Building Companies Inc., The Whiting-Turner Contracting Company, M. A. Mortenson Company, DPR Construction, Gilbane Building Company, Hathaway Dinwiddie Construction Company, JE Dunn Construction Group Inc., Ryan Companies US Inc., Sundt Construction Inc., Swinerton Inc., Webcor Builders Inc.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs on steel, heavy machinery components, and imported construction equipment have raised operational costs for excavation and demolition contractors, leading to higher project expenses and delayed timelines, particularly across infrastructure and commercial development sectors reliant on heavy and civil engineering construction. Regions with high import dependency, including parts of Europe and Asia-Pacific, are most impacted, while residential segments experience moderate effects. Nevertheless, tariffs have encouraged local equipment manufacturing, stimulated domestic supply chains, and supported long-term investment in more efficient, durable, and sustainable machinery.

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

Excavation is the process of moving soil, rock, or other materials using explosives, equipment, or tools. It encompasses various activities such as earthmoving, trenching, wall-shafting, and tunneling. Demolition, on the other hand, involves the systematic destruction of existing structures.

The main types of excavation and demolition activities are categorized into building construction, heavy and civil engineering construction, specialty trade contractors, and land planning and development. Building construction involves the erection of various structural buildings. Equipment types used in these activities include earthmoving equipment, material handling equipment, heavy construction vehicles, and others. These types of equipment find applications in diverse sectors such as housing, healthcare, industrial, infrastructure, commercial, and educational projects.Asia-Pacific was the largest region in the excavation and demolition market in 2025. The regions covered in the excavation and demolition market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the excavation and demolition market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The excavation and demolition market includes revenues earned by entities by providing land levelling and earthmoving services for construction, repair, alteration, addition, replacement, maintenance, and remolding. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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.

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