Research firm MarketsandMarkets anticipates the mining equipment market to grow to $134.7 billion in 2019 at a compound annual growth rate of 4.34% and 8.42% respectively, it stated in a new report.
The report highlights potential growth opportunities in the coming years and reviews a range of factors that will have a bearing on the industry including; market drivers, growth indicators and challenges, as well as legislation trends and other key aspects with respect to construction and mining equipment market.
Demand to outstrip supply
The report notes that the market would outstrip and surpass in size the construction equipment market through 2019.
With a ton of infrastructural opportunities and government initiatives the market for construction and mining equipment market is expected to grow in Asia-Pacific region, according to MarketsandMarkets.
The firm’s research report states, “Robust economic growth, an expanding population and rapid urbanisation are also aiding and supporting growth rates across Asia-Pacific region. Other than Asian manufacturers such as Komatsu (Japan), Hitachi (Japan), Zoomlion (China) the region has also strong presence of major European and US equipment manufacturers.”
Focus on developing markets
The report looks at the market for loaders, excavators, dozers, mineral processing machinery and crushing and pulverizing equipment among others.
MarketsandMarkets says with the increase in rental and leasing facilities, and a large number of companies adopting to strategies of joint venture, mergers and acquisitions and collaborations the focus is clearly set on newer developing markets such as China, India, Brazil, and Russia.
“The construction and mining industry is quite mature in the regions of North America and Europe.
“However, the Asia-Pacific and RoW countries such as Brazil and Russia are seeing huge investments being made on roads, bridges, highways and expressways for increasing the infrastructural capabilities of the region. Similarly, government initiatives are also increasing,” according to the firm.