UK Used Construction Equipment Market Report 2022: $900 Billion in Planned Infrastructure Investments Bode Well for Sector

DUBLIN, Dec. 20, 2022 /PRNewswire/ -- The "UK Used Construction Equipment Market - Strategic Assessment & Forecast 2022-2027" report has been added to  ResearchAndMarkets.com's offering.

UK used construction equipment market is expected to grow at a CAGR of 2.97% during 2021-2027. Rising government investment in Affordable Housing & National Health Schemes is expected to prompt the UK's used construction equipment sales during the forecast period. The United Kingdom used construction equipment market by volume is expected to cross 20,918 units by 2028.

In 2021, the government planned to invest USD 900 billion in infrastructure development projects across the UK for the next ten years. The government is also investing in affordable housing schemes and the healthcare sector. An investment of USD 4.3 billion & USD 4.9 billion is allocated for building hospitals & affordable housing schemes in 2022, respectively.

Investments were also directed for the upgradation of public infrastructure such as roadways, railways, & airports. USD 171 billion will be allocated to repair and redevelop roadways, bridges, and traffic signals across the UK in 2022. Such development projects are projected to boost the UK used construction equipment market growth.

KEY HIGHLIGHTS

• The material handling segment has the largest share in the UK used construction equipment market. Forklifts & telehandlers held the largest share in the material handling segment in 2021.
• Forklifts are compact equipment used for material handling in confined spaces such as small warehouses & distribution centers. In 2021, the growth in the e-commerce & logistics industry in the UK prompted the demand for warehouses. Government investment doubled to USD 7.9 billion in 2021 for expanding warehouses in Northwest, East Midlands, & West Midlands. Growth in the logistics & e-commerce industry is expected to positively impact the demand for used forklifts & telescopic handlers in the UK used construction equipment market. According to CEA (Construction Equipment Association) report, telehandlers witnessed sharp growth of more than 100% in 2021.
• Used mini excavators are also gaining market share in the UK used construction equipment market. Small & medium contractors prefer to buy used mini excavators used for digging, stone plying and handling medium size loads at construction sites. The UK is facing the challenge of rising labor costs, so contractors prefer to buy these machines to reduce dependency on construction laborers.
• UK government also increased its focus on upgrading public infrastructure, which includes the development of airports & railway stations. An investment of USD 3.9 million is planned for developing airports across the UK in 2022. In addition, the USD 491.6 million funds are allocated for building eco-friendly stations by installing solar panels & smart LED lighting.
• The demand for young used equipment is growing in the UK market due to the government's strict environmental norms. UK government introduced the Stage V emission Standard, which is expected to prompt the demand for young used equipment around 2-4 years old. Used construction equipment demand is expected to remain steady in the UK market due to the rise in public infrastructure projects in 2022.
• The rise in construction material and labor costs are the major challenges in the UK. New government emission regulation is expected to hamper the demand for diesel-based large used construction equipment, such as large excavators, cranes, & loaders, which have long working hours.

MARKET SEGMENTATIONS
Segmentation by Type

• Earthmoving Equipment:
• Excavator
• Backhoe Loaders
• Motor Graders
• Other Earthmoving Equipment (Other loaders, Bulldozers, Trenchers)
• Material Handling Equipment
• Crane
• Forklift & Telescopic Handlers
• Aerial Platforms (Articulated Boom Lifts, Telescopic Boom lifts, Scissor lifts)
• Road Construction Equipment
• Road Rollers
• Asphalt Pavers
• End Users
• Construction
• Manufacturing
• Mining
• Others

MARKET TRENDS & DRIVERS
Government Investment for Housing Development Projects to Overcome Housing Crisis

• The UK is facing a housing crisis due to low investment in the country's housing sector in 2022. The mismatch of demand & supply of housing units across the country resulted in a surge in the prices of houses. In 2022, the housing price increased by 11% compared to 2021. Cities with the most significant housing shortages primarily concentrate in the Greater Southeast of England, such as London and Brighton. To overcome the housing crisis, the government plans to build 300,000 new homes yearly to match demand and keep housing costs affordable from 2020. However, the government missed the yearly housing target, and 216,000 housing units were constructed between 2020-2021.

Rise In Government Investment For Development Of Transit Facilities Across UK

• In 2022, the government plans to boost the investment in transport infrastructure in the country's Cornwall, Greater Manchester, Newcastle & Southampton regions to enhance the economic recovery post-pandemic. The government planned to invest USD 170 million in four significant road development & maintenance projects across the country, which is expected to reduce traffic congestion and improve connectivity.

Growing Investment in the National Health Sector

• The pandemic exerted pressure on the Nation's health sector with the surge in demand for upgraded treatment facilities across the UK. Responding to this demand, the government developed the national healthcare plan to construct new hospitals and upgrade the existing ones.

Newer Used Construction Equipment Witness Growth in Demand in UK Market

• Stage V emission norms introduced in 2020 focus on reducing carbon emissions. The government introduced strict emission norms for heavy construction equipment in 2020. There is a surge in demand for newer used construction equipment that are 2-4 years old in the UK market in 2021. The rental companies & contractors focused on buying newer used equipment to fulfill the emission standard set by the government.

Growth in Renewable Projects

• In 2022, the government's increased investment in renewable projects resulted in a 6.5% increase in renewable energy generation capacity in 2022 as compared to 2021. The country aims to produce 100% electricity from renewable energy resources by 2035. In 2022, the government invested $427.6 million to develop offshore wind generation projects. USD 34.1 million is allocated to increase biomass production, and further USD 5.3 million is directed to support innovative technologies that will generate hydrogen from biomass & waste.

VENDOR LANDSCAPE

• JCB has the most robust share in the UK used construction equipment market. JCB, Kubota, Caterpillar & Volvo are the market leaders in the UK industry and has a strong distribution network & provide a wide variety of products. Kubota is the market leader in mini excavators in the region.

Key Vendors

• JCB
• Caterpillar
• Komatsu
• Volvo Construction Equipment
• Manitou
• Hitachi Construction Machinery
• Kubota
• Kobelco

Other Prominent Vendors

• Liebherr Group
• Hyundai Construction Equipment
• Yanmar
• LiuGong

Auctioneers Profile

• Ritchie Bros.
• Equippo
• Sandhills Global
• Surplex
• Apex auction
• Angermann machinery & equipment GmbH & co.
• Euro Auctions

Distributor Profiles

• SJH-All Plant Group Ltd
• Molson Group
• Cautrac

KEY QUESTIONS ANSWERED

1. What is the expected size of the UK used construction equipment market by 2028?
2. What is the expected number of units sold in the UK used construction equipment market by 2028?
3. What is the growth rate of the UK used construction equipment market?
4. What are the latest trends impacting the growth of the UK used construction equipment market?
5. Who are the key players in the UK used construction equipment market?

Key Topics Covered:

1. Introduction

2. The Market Overview

3. UK Used Construction Equipment (Type & Application)

4. Market Dynamics

5. Technology Development

6. Competitive Landscape

7. Quantitative Summary

8. Report Summary

9. Report Scope & Definition

For more information about this report visit https://www.researchandmarkets.com/r/qmsdeb

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]
 
For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
 
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

SOURCE Research and Markets