India Construction Equipment Market Size, Share, Industry Analysis, Growth, Forecasts, 2032

India Construction Equipment Industry Prospective:

The India construction equipment market size was evaluated at $150 billion in 2023 and is set to hit $253 billion by the end of 2032 with a CAGR of nearly 6.7% between 2024 and 2032.

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India Construction Equipment Market: Overview

Construction equipment includes a wide range of equipment and tools that are utilized in various phases of construction ventures. The product is used in concrete production, excavation, material handling, and earthmoving activities. Furthermore, it is also used in tasks that involve road and rail construction. There are various kinds of construction equipment used in India, namely, dump trucks, backhoe loaders, wheel loaders, excavators, bulldozers, compactors, cranes, pavers, and concrete mixers.

Key Insights

• As per the analysis shared by our research analyst, the India construction equipment market is projected to expand annually at the annual growth rate of around 6.7% over the forecast timespan (2024-2032)
• In terms of revenue, the India construction equipment market size was evaluated at nearly $150 billion in 2023 and is expected to reach $253 billion by 2032.
• India construction equipment market is anticipated to grow rapidly over the forecast timeline owing to a rise in the government focus on infrastructural growth along with the rapid expansion of real estate in one-tier as well as two-tier cities in India.
• In terms of type, the earthmoving equipment segment is slated to register the highest CAGR over the forecast period.
• On the basis of application, the infrastructure segment is predicted to contribute notably towards the industry growth in the ensuing years.

India Construction Equipment Market: Growth Factors

Surging government highlight on infrastructure expansion to boost the growth of the market in India

Rise in the government’s focus on infrastructural growth along with the rapid expansion of real estate in one-tier as well as two-tier cities in India is likely to prop up the expansion of India construction equipment market. An increment in foreign direct investments and a rise in construction activities in the country are expected to expand the market space in India. A rise in the renting of construction equipment in construction activities along with the availability of skilled workforce in the country will provide impetus to the expansion of the market in India.

India Construction Equipment Market: Restraints

A demand for huge fund allocation for producing the product can impede the industry growth in the country

A growing need for high investments along with oscillation in the raw material costs is anticipated to restrict the growth of India construction equipment industry. A surge in operational charges and cut-throat competition from substitute products can shrink the expansion of the industry in India. Strict laws governing product usage can decimate the industry growth in the country.

India Construction Equipment Market: Opportunities

An increase in online retail activities can prop up the market growth in India by 2032

Launching of smart city concepts along with rapidly thriving e-commerce tools and logistics activities are likely to open new avenues of growth for India construction equipment market. An increase in the partnerships and collaborations between the players will prop up the scope of the expansion of the market in India.  

India Construction Equipment Market: Challenges

Lack of workforce availability at cost-effective wages can impede the growth of the industry in India

Labor shortages and supply chain disruptions can challenge the expansion of the India construction equipment industry in the coming years. Moreover, a rise in the product costs due to an increment in the import duties can retard the growth of the industry in the country.   

India Construction Equipment Market: Segmentation

The India construction equipment market is divided into type, application, and region.                                          

In terms of type, the India construction equipment market is bifurcated into concrete equipment, earthmoving equipment, material handling, and road construction segments. Additionally, the earthmoving equipment segment, which accrued nearly 50% of the market earnings in 2023, is projected to register in the next few years and can be subject to large-scale use of the earthmoving equipment in construction activities such as land clearing and excavation.

Based on the application, the India construction equipment industry is divided into infrastructure, commercial, industrial, and residential segments. Furthermore, the infrastructure segment, which garnered approximately two-thirds of the industry share in 2023, is expected to make key contributions towards the industry growth in the country over the forecasting timespan. The surge of the segment in the analysis period can be due to growing product penetration and use for building roads, railway bridges, and airports in India. Moreover, a rise in the allocation of government funds for infrastructure growth along with the need for enhancing connectivity across the country is projected to steer the segmental surge.  

India Construction Equipment Market: Report Scope

Key Developments

• In the second half of 2021, the government of India launched new initiatives such as Smart Cities Mission and Bharatmala Pariyojana with a view of boosting the growth of construction and infrastructural sectors in the country.
• In the third quarter of 2021, manufacturers of construction equipment launched telematics tools, IoT-driven devices, and digital tools with a view to digitizing the construction equipment.

India Construction Equipment Market: Competitive Space

The India construction equipment market profiles key players such as:

• Komatsu India Pvt. Ltd
• Sany Heavy Industry India Pvt. Ltd
• Tata Hitachi Construction Machinery Co. Ltd
• Escorts Construction Equipment Ltd
• Hyundai Construction Equipment India Private Ltd
• JCB India Ltd
• Wirtgen India Pvt. Ltd
• Kobelco Construction Equipment India Pvt. Ltd
• L&T Construction Equipment Limited
• XCMG Construction Machinery India Pvt. Ltd
• BEML Limited
• Mahindra Construction Equipment
• ACE - Action Construction Equipment Limited
• Volvo Construction Equipment India Private Limited
• Doosan Bobcat India Pvt. Limited
• Schwing Stetter India Pvt. Ltd
• Case Construction Equipment India Pvt. Ltd
• Caterpillar India Pvt. Ltd
• Manitowoc Crane Group India Pvt. Ltd
• Atlas Copco India Limited

The India construction equipment market is segmented as follows:

By Type

• Earthmoving Equipment
• Material Handling
• Concrete Equipment
• Road Construction

By Application

• Infrastructure
• Commercial
• Industrial
• Residential

By Region

• North India
• West and Central India
• South India
• East India