Electric Earthmoving Equipment Market To Reach $4.88 Billion By 2030

Electric Earthmoving Equipment Market Growth & Trends

The global electric earthmoving equipment market is anticipated to reach USD 4.88 billion by 2030 and is anticipated to expand at a CAGR of 13.5% from 2024 to 2030, according to a new report by Grand View Research, Inc. Strict environmental regulations and sustainability initiatives are driving demand for zero-emission earthmoving equipment. In addition, rapid advancements in battery technology, increasing fuel costs, and government incentives to adopt electric machines further fuel the growth of the market.

In recent years, increasing investments in the construction sector have driven the sales of electric earthmoving equipment worldwide. Favorable government initiatives aimed at assisting infrastructure development and other construction activities are expected to further drive construction spending globally. For instance, in India, government initiatives such as Make in India and the Smart Cities Mission are creating a favorable environment for construction activities, drawing both domestic and international investments. Such initiatives are expected to drive more demand for electric earthmoving equipment in the global market.

Moreover, as the world transitions toward renewable energy, the cost of electricity for charging construction machines is likely to decrease, further incentivizing their adoption. For instance, the U.S. government’s goal of achieving net-zero emissions by 2050 is likely to drive the demand for sustainable construction and earthmoving equipment, such as electric loaders and excavators. In addition, increasing fuel prices are making electric earthmoving equipment a more cost-effective option in the long term. The lower operating costs of electric equipment, due to reduced fuel consumption and maintenance needs, are attractive to construction companies.

Several manufacturers are merging their expertise, resources, and research capabilities to drive innovation and enhance the performance of electric earthmoving equipment such as loaders. For instance, in November 2023, Kubota Corporation launched two battery-powered RT compact wheeled loader models, namely the RT220-2e and RT210-2e. These models provide a zero-emission, low-noise solution for consumers demanding a clean-fuel alternative for working around livestock, indoors, or in surroundings where ultra-low noise levels are needed. The RT 'e' models are powered by a standard 260Ah lithium-ion battery pack, utilizing a 48-volt DC electrical system. Such initiatives are expected to bode well for the market’s growth.

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Electric Earthmoving Equipment Market Report Highlights

• The loader segment dominated the market in 2023. The segment’s growth is driven by the increasing adoption of electric loaders for applications such as large-scale building construction, where indoor operation demands lower noise levels and reduced emissions.

• The hybrid electric vehicle (HEV) segment dominated the market in 2023. The segment's growth can be attributed to the increasing demand and development of hybrid earthmoving equipment, which offers numerous benefits. Hybrid electric earthmoving equipment combines the advantages of both electric and conventional internal combustion engine (ICE) systems, offering a range of benefits that are transforming the construction industry. Some of the key benefits include reduced fuel consumption and emissions, improved efficiency, and cost savings.

• The lithium-ion segment is expected to grow at the fastest CAGR from 2024 to 2030. Lithium-ion battery technology has emerged as a preferred choice for electric earthmoving equipment due to its ability to provide high voltage, power density, extended life cycle, reduced heating, and enhanced safety compared to other battery technologies.

• The Asia Pacific region is expected to register the fastest CAGR from 2024 to 2030.The market's growth in the region can be attributed to factors such as increasing urbanization and industrialization, growing infrastructure development activities across countries such as India, China, and Japan, and government stringent regulations to reduce carbon emissions from traditional construction equipment.

• In May 2024, Volvo Construction Equipment AB unveiled a modernized range of excavators featuring advanced technology for superior performance at Volvo Days 2024, an event organized by Volvo Group in Sweden. The launch extends the company’s diverse lineup of electric machines, including its first electric wheeled excavator. Additionally, the company presented its most comprehensive range of charging solutions and introduced new smart applications designed to reduce complexity and enhance business potential with a solution-based approach. A new generation of innovative excavator models includes EC500, EC400, and EC230.

Electric Earthmoving Equipment Market Segmentation

Grand View Research has segmented the global electric earthmoving equipment market based on product, propulsion, battery type, and region:

Electric Earthmoving Equipment Product Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Dozer

• Excavator

• Loader

• Motor Grader

• Dump Truck

Electric Earthmoving Equipment Propulsion Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Battery Electric Vehicle (BEV)

• Hybrid Electric Vehicle (HEV)

Electric Earthmoving Equipment Battery Type Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Lithium-ion

• Lead-acid

Electric Earthmoving Equipment Regional Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

• Asia Pacific

  • China

  • India

  • Japan

  • Australia

  • South Korea

• Latin America

  • Brazil

• Middle East & Africa

  • UAE

  • Kingdom of Saudi Arabia

  • South Africa

List of Key Players in the Electric Earthmoving Equipment Market

• Caterpillar Inc.

• CNH Industrial N.V.

• Doosan Corporation

• Hitachi Construction Machinery Co., Ltd.

• Hydrema

• J C Bamford Excavators Ltd.

• Komatsu Ltd.

• Liebherr-International AG

• Sany Heavy Industry Co., Ltd.

• Volvo Construction Equipment AB