Electric And Hybrid Construction Equipment Market Size, Share & Trends Analysis Report By Region, And Segment Forecasts, 2022 To 2030

Market Overview

The global heavy equipment market is transitioning to hybrid, electric, or even hydrogen powertrains, touching all parts of the supply chain. These newly implemented technologies in the heavyequipment sector strongly influence the engineering process. According to Grand View Research, Electric construction equipment market is observing a lot of technological innovations for more optimized and reliable products. The demand for automated solutions is rising as it helps increase productivity with minimum effort and reduced errors. Off-highway vehicles pushed by electricity have several advantages, including great overall efficiency, mobility, and precision throughout operations. Additionally, Hybrid construction equipment steadily runs at the most efficient speed and torque range for the task at hand, permitting operators to get fuller buckets every time. Not only does hybrid equipment run efficiently, with the electrification of subsystems, it can also be customized using software and tailored to suit a specific customer’s use case. Hydraulic systems, would be the best in case example, do not have to be reliant on engine speed, which improves performance and reduces engine load.Electric and Hybrid construction equipment changing the future eco-system and Stand-up against Diesel or Gasolines. Electric and Hybrid technologies offerbetter fuel services, Improved performance, Reduced maintenance cost, Lower emissions and Increase engine durability.

Market Outlook

A growing demand for machines that cost less to operate, together with regulatory pressures for lower emissions, are leading construction-equipment manufacturers to electric and hybrid drives over traditional hydraulic and mechanical ones. Companies like Dana Holding introduced a hybrid Drivetrain, which designed to improve fuel economy and vehicle productivity and reduce emissions. Additionally, Volvo construction equipment introduced a Hybrid loader whichmore power, better performance, and the potential to reduce fuel consumption by up to 10%, compared with current versions.

Considering the anxieties about pollution and noise created by outdated diesel-powered machinery, electric of off-highway automobile drive systems (such as construction and mining industrial equipment) has received attention.Major players are expended their R&D spending intensely to get the traction in the electric construction equipment industry. Simultaneously, emergence of electric and hybrid construction equipment rental service to be a major trend. In this, most populated economics such as China, India, and European countries are expected to witness surging demand for rental service business over the forecast period. Renting construction equipment saves the initial purchasing, maintenance, and inventory costs of the equipment and machinery. The rental companies invest more in repairing and maintaining their products to gain long-term profits from them. Further to expand the product and service offering, the rental companies have started providing onsite supporting services for customers at remote locations. 

Market Opportunity

Implementation of electric and hybrid construction equipment has been slow as practical equipment buyers have waited to see how this new technology achieves in different heavy-duty applications, and if the higher upfront cost would be valuing the promised savings.

In this space, long range and fast charging battery technology getting enormous traction. Earlier, electric vehicles were working on lead-acid and nickel-metal hydride batteries. But now, electric off-highway vehicles are mainly outfitted with lithium-ion batteries due to their frequent advantages over lead-acid and nickel-metal hydride batteries. Additionally, lithium-ion batteries are manufactured with stabilized solid electrolytes in lithium metal and offer up to 10 times more charging volume than any other batteries.

Countries with an established electric vehicle infrastructure are expected to be at the forefront in the adoption of electric & hybrid construction equipment space. The analysis represents the readiness of key countries for automotive electrification:

The rising demand of electric off-highway equipment is inspiring manufacturers to improve their service offerings to achieve a high market share. The low operating and maintenance costs of electric vehicles compared to Internal Combustion Engine will enhance the electric off-highway equipment industry revenue. Altogether, big fortune companies are focusing on mergers & acquisitions to expand their product portfolio. In 2021, Hybrid electric equipment segment achieved a sale of over 10,000 units and growing demand of equipment’s introduce their futuristic models. Promising construction equipment companies are shifting towards eco-friendly business operations. Production of rental electric construction equipment companies in Latin America and Asia Pacific creating lot of opportunity for new players and building strong competition.

Key Players

• Hitachi Construction Machinery Co., Ltd.

• Caterpillar Inc.

• Komatsu Ltd.

• Deere & Company

• AB VOLVO

• Kobelco Construction Machinery Co. Ltd.

• Takeuchi Mfg. Co. Ltd.

• Groupe Mecalac S.A.S.