Construction equipment sales set new record

Posted by IronPlanet on Apr 12, 2012 9:50:00 AM

Global sales of construction equipment hit an all-time high last year, suggesting that the construction industry is getting back to work after the economic downturn took its toll on many contractors.

The annual YellowTable report, compiled by KHL Group, tracks the sales of the world's 50 largest construction equipment manufacturers. This year's report showed a sharp increase in sales as the industry improved by 25 percent.

Total sales amounted to $182 billion, a new record, reports ForConstructionPros.com. The number eclipsed the previous record set in 2008, which was $168 billion, according to the news source. Analysts consider 2008 to be the last year before the global financial crisis really began to take hold, as the numbers plummeted over the next two years.

Among the major brands, Caterpillar remained the top overall company, followed closely by Komatsu. Volvo rose on the list to surpass Hitachi for third place. John Deere also made a comeback into the top 10, rising two spots from the previous report.

Overall, American manufacturers led the way, accounting for 31.2 percent of total revenues. Japan and China were the next largest, with 23.5 and 16.9 percent, respectively.

"A rebound in the European, North American and Japanese construction markets was the key driver last year," Chris Sleight, who authored the report, told the news source. "There was also growth for some of China's larger players, but they faced the first significant headwinds for more than a decade as the country's stimulus spending programs came to an end. Over the next 12 months the continued recovery in North America is likely to be decisive for the 2013 Yellow Table."

Those interested in purchasing construction equipment don't necessarily have to purchase directly from the manufacturer. Contractors can still buy genuine equipment from Caterpillar and other manufacturers on the auction website IronPlanet. The used construction equipment sold on IronPlanet is backed by IronClad Assurance inspection reports and is often more affordable than buying new.

 

Topics: Construction, Industry Headlines