Saudi Arabia Construction Equipment Market to Grow at a CAGR of 4.3% During 2024-2032, Aided by the Rapid Urbanisation and Population Explosion

Saudi Arabia is experiencing robust infrastructural development due to rapid urbanisation. In 2023, the government allocated USD 9.17 billion for Saudi Arabia’s infrastructural development. Rapid urbanisation, coupled with the rising demand for commercial spaces and residential properties with improved public facilities, is propelling the Saudi Arabia construction equipment market growth.

Under the Vision 2030 Program, the Saudi Arabian government is heavily investing in the construction of ports, railways, roads, and airports, which creates demand for construction equipment like cranes and loaders.

The Saudi Arabian government has planned to invest in large-scale industrial projects, allocating more than USD 175 billion in funding annually between 2025 and 2028. In 2026 and 2027, spending is anticipated to reach a peak of USD 180 billion. Projects like NEOM and the Red Sea resorts are part of the large-scale investment drive, which has a combined budget of about USD 1.3 trillion.

New product development by companies such as AB Volvo (OTCMKTS: VLVLY) and HD Hyundai Construction Equipment to increase work efficiency supports the market growth in Saudi Arabia. In January 2024, HD Hyundai Construction Equipment (KRX: 267270) signed a supply agreement with Al Rawaf Consulting Company, one of Saudi Arabia's top construction companies, for 100 excavators. In accordance with this arrangement, by February of the following year, HD Hyundai will gradually deliver a total of 100 construction units, comprising 30 50-ton excavators and 70 22-ton excavators.

The development of an underwater pipeline that would span 400 km and connect Riyadh and Dammam, located in eastern Saudi Arabia, will be greatly aided by these devices. Additionally, the company promised to supply 50 heavy excavators and wheel loaders for the Neom City project and is anticipated to sell 800 pieces of equipment in Saudi Arabia alone by the end of this year.

Read more about this report - REQUEST FREE SAMPLE COPY IN PDF

Market Analysis by Machinery Type, Propulsion Type, and End Use:

• The market, on the basis of machinery type, can be divided into earth-moving machinery, material handling machinery, and concrete and road construction machinery.

• Based on propulsion type, the market can be divided into ICE, electric, and CNG/LNG.

• The various end-uses of construction equipment include oil and gas, construction and infrastructure, manufacturing, and mining, among others.

Key Findings of the Report:

• Mining in Saudi Arabia is crucial to the country’s economic diversification as part of the Saudi Vision 2030. As a result, a USD 182 million miner exploration incentive plan has been launched by Saudi Arabia to promote mineral exploration in the mining industry.

• Saudi Arabia possesses about 17% of the world’s proven petroleum reserves. Further production expansion can lead to a significant demand for construction equipment. Additionally, the expanding population and influx of migrants propel the demand for commercial and residential properties, further propelling the Saudi Arabia construction equipment market growth.

• As part of Saudi Vision 2030, Saudi Arabia is focusing on a range of new areas, such as smart cities, including Yanbu Industrial City, the NEOM Project, clean energy, and tourism. The development in these areas is expected to aid the demand for construction equipment.

• The increasing adoption of advanced equipment and automated machinery integrated with technologies like the Internet of Things (IoT), telematics, and robotics can increase the functionality of construction machinery by improving efficiency.

Key Offerings of the Report:

• The EMR report gives an overview of the Saudi Arabia construction equipment market for the periods (2018-2023) and (2024-2032).

• The report also offers the historical (2018-2023) and forecast (2024-2032) markets for the machinery types, propulsion types, and end-uses of construction equipment in Saudi Arabia.

• The market report also analyses the trade data by covering the major importing and exporting countries.

• The report analyses the market dynamics, covering the key demand and price indicators in the market, along with an assessment of the SWOT and Porter’s Five Forces models.

The major players in the Saudi Arabia construction equipment market are AB Volvo, Hitachi Construction Machinery Co. Ltd., Sumitomo Construction Machinery Co., Ltd., Caterpillar Inc., CNH Industrial N.V., Komatsu Ltd., Doosan Corporation, Manitowoc Company Inc., and Kobelco Construction Machinery Group, among others. The comprehensive report by EMR looks into the market share, capacity, and latest developments like mergers and acquisitions, plant turnarounds, and capacity expansions of the major players.

Key Highlights of the Report

About Us:

Expert Market Research (EMR) is a leading market research and business intelligence company, ensuring its clients remain at the vanguard of their industries by providing them with exhaustive and actionable market data through its syndicated and custom market reports, covering over 15 major industry domains. The company's expansive and ever-growing database of reports, which are constantly updated, includes reports from industry verticals like chemicals and materials, food and beverages, energy and mining, technology and media, consumer goods, pharmaceuticals, agriculture, and packaging.

EMR leverages its state-of-the-art technological and analytical tools, along with the expertise of its highly skilled team of over a 100 analysts and more than 3000 consultants, to help its clients, ranging from Fortune 1000 companies to small and medium sized enterprises, easily grasp the expansive industry data and help them in formulating market and business strategies, which ensure that they remain ahead of the curve.

Contact Us:

Expert Market Research
Website: www.expertmarketresearch.com
Email: sales@expertmarketresearch.com
US & Canada Phone no: +1-415-325-5166
UK Phone no: +44-702-402-5790

*At Expert Market Research, we strive to always give you current and accurate information. The numbers depicted in the description are indicative and may differ from the actual numbers in the final EMR report.