Construction equipment market seen reaching $313.9B by 2031

By AI, Created 1:26 PM UTC, May 28, 2026, /AGP/ – Allied Market Research says the global construction equipment market will grow from $195.8 billion in 2021 to $313.9 billion by 2031, driven by demand for smart machinery and steady infrastructure activity. Asia-Pacific, excavators and heavy construction equipment lead the market, while forklifts and services are among the fastest-growing segments.

Why it matters: - The construction equipment market is a major input to infrastructure, building and industrial work across global economies. - Allied Market Research projects the market will add nearly $118.1 billion in value by 2031, signaling continued capital spending on machines that support digging, hauling, lifting and grading. - Demand for smarter machinery points to a shift toward more automated, efficient equipment in construction fleets.

What happened: - Allied Market Research released a report on the global construction equipment market on May 28, 2026. - The report values the market at $195.8 billion in 2021 and projects it to reach $313.9 billion by 2031. - The forecast implies a 4.8% compound annual growth rate from 2022 to 2031. - The report covers investment opportunities, winning strategies, drivers, market size, competition and market trends. - The study is positioned for frontrunners, new entrants, investors and shareholders. - The report is available as a sample download here.

The details: - Construction equipment includes bulldozers, front loaders, dump trucks, backhoe loaders, graders, crawler dozers, compactors, excavators, forklifts and concrete mixer trucks. - The equipment is used for drilling, hauling, excavating, paving, grading and lifting. - Construction equipment also serves manufacturing and oil and gas applications. - COVID-19 restrictions and raw-material supply chain disruptions slowed the market in 2020 and early 2021. - The market began recovering toward the end of 2021. - The report breaks the market down by solution type, equipment type, type, application, end user and region. - In solution type, products held nearly four-fifths of revenue in 2021. - In solution type, services are projected to post the fastest CAGR at 5.1%. - In equipment type, heavy construction equipment held more than 90% of market share in 2021. - In equipment type, compact construction equipment is projected to grow the fastest at 5.8%. - In equipment type, excavators accounted for more than two-fifths of market share in 2021. - In equipment type, forklifts are projected to grow at 9.4%, the fastest pace in the forecast period. - In application, earth moving held nearly two-fifths of revenue in 2021. - In application, lifting and material handling is projected to grow at 7.1%. - In end user, construction and infrastructure held around half of market revenue in 2021. - In end user, construction and infrastructure is also projected to grow at 5.6% from 2022 to 2031. - Asia-Pacific held more than two-fifths of market revenue in 2021. - Asia-Pacific is projected to post a 5.6% CAGR from 2022 to 2031. - The report lists AB Volvo, Caterpillar Inc., CNH Industrial N.V., Deere & Company, Hyundai Doosan Infracore Co., Ltd., Hitachi Ltd., J C Bamford Excavators Ltd., Komatsu Ltd., Liebherr-International AG and Xuzhou Construction Machinery Group Co., Ltd. (XCMG) as leading players. - Those major players have used product launches and acquisitions to expand their portfolios. - Additional report links in the release include Smart Waste Management Market, Smart Cooling Systems Market, Pre-Engineered Buildings Market, Gas Compressors Market, Fiber-reinforced Concrete (FRC) Market, Prefabricated Homes Market, Railway Maintenance Machinery Market and Cross Laminated Timber Market.

Between the lines: - The segment data suggests the market is still dominated by large, heavy machines, but smaller and more specialized products are gaining share faster. - The strongest growth rates in services, compact equipment and forklifts indicate demand is broadening beyond core earth-moving equipment. - Asia-Pacific’s lead reflects the region’s concentration of construction and infrastructure activity.

What’s next: - The market is expected to keep expanding through 2031 as infrastructure demand and equipment modernization continue. - Competitive activity is likely to center on new product launches and acquisitions as manufacturers defend share and broaden offerings. - Investors will likely focus on the fastest-growing segments, especially forklifts, compact equipment, services and lifting and material handling.

The bottom line: - Construction equipment remains a large, steady-growth market, with heavy machines still dominant and smart, smaller and service-linked segments moving fastest.