Navigating the tides: China's off-highway market

"China's off-highway market is poised for a rebound, demanding strategic foresight from industry leaders."

Jan-Oliver Sestak

Partner

Link to HBXG

Berlin Office , Central Europe

Despite these optimistic outlooks for the Chinese construction vehicle market, players must strategically consider two major trends shaping the competitive and market landscape: A rising market share of compact equipment and large excavators ' accompanied by a significant decline in wheeled loaders ' as well as a regionalization and concentration of the competitive landscape.

Mini and large excavators on the rise

Mini excavators feature an operating weight of below c.5.5 t, small dimensions, and high agility to operate in restricted spaces, i.e., through an articulated joint at the base of their excavation boom. This results in high versatility, especially in municipal and farmland use cases. The Chinese mini excavator market doubled its share on the overall excavator market from 4% in to 8% in and is set to experience further rapid growth, driven by rural constructions and a shift away from 'traditional' infrastructure use cases.

On the other end of the scale, the share of medium and especially large excavators is set to rise. Medium and large excavators feature operating weights beyond c.19 t and c.29 t respectively. Large excavators feature superior economics in medium to large-sized projects. Despite loss in excavator market share ' C.43% in vs. c.37% in ' the Chinese medium and large excavator market is set to experience tailwinds as demand from efficient infrastructure and also large-scale mining projects is anticipated to increase gradually.

Industry Statistics and Trends

Market size and recent performance (-)

Industry revenue has grown at a CAGR of 1.9 % over the past five years, to reach an estimated $15.8bn in .

Trends and Insights

Construction Equipment Services in China

Revenue (-)

Source: IBISWorld

Source: IBISWorld

Industry outlook (-)

Market size is projected to grow over the next five years.

Trends and Insights

Biggest companies in the Construction Equipment Services in China

Company

Market Share (%)

Revenue ($short_0)

There are no companies that hold a large enough market share in the Construction Equipment Services in China industry for IBISWorld to include in this product.

Products & Services Segmentation

Construction Equipment Services in China

Products & Services

Source: IBISWorld

Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Construction lifting equipment services, Concrete machinery services and Excavating machinery services. Construction lifting equipment services is the largest segment of the Construction Equipment Services in China.

Trends and Insights

• More insights available in the full report

Table of Contents

About this industry

Industry definition

Construction equipment service providers supply construction equipment operation and related services to construction sites.

What's included in this industry?

Providing concrete mixing services

Providing tower crane machinery operation services

Providing other excavating machine operation services

Companies

Purchase this report to view all major companies in this industry.

Related Terms

GROSS FLOOR AREA (GFA)

EXCAVATORS

TOWER CRANE

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

National policies have promoted industry development. Development strategies for the Belt and Road Initiative, the Yangtze River Economic Belt and Beijing-Tianjin-Hebei infra...

In this chapter (4)

• Current Performance
• Outlook
• Volatility
• Life Cycle

Key metrics

• Annual Revenue, Recent Growth, Forecast, Revenue Volatility
• Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
• Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
• Total Profit, Profit Margin, Profit per Business

Charts

• Revenue, including historical (-) and forecast (-)
• Employees, including historical (-) and forecast (-)
• Businesses, including historical (-) and forecast (-)
• Profit, including historical (-)
• Industry Volatility vs. Revenue Growth
• Industry Life Cycle

Detailed analysis

• Trends in supply, demand and current events that are driving current industry performance
• Expected trends, economic factors and ongoing events that drive the industry's outlook
• Key success factors for businesses to overcome volatility
• How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Construction lifting equipment services are the laegest segment. Construction lifting equipment services include tower crane services, construction lift services, wheel crane...

In this chapter

• Products & Services
• Major Markets

Key metrics

• Largest market segment and value in
• Product innovation level

Charts

• Products & services segmentation in
• Major market segmentation in

Detailed analysis

• Trends impacting the recent performance of the industry's various segments
• Innovations in the industry's product or service offering, specialization or delivery method
• Key factors that successful businesses consider in their offerings
• Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Construction Equipment Services in China is concentrated in Shanghai, Jiangsu and Shandong. These three provinces are expected to account for 34.9% of total industry reve...

For more Chinese Construction Equipmentinformation, please contact us. We will provide professional answers.

In this chapter (1)

• Business Locations

Charts

• Share of revenue, establishment, wages and employment in each region
• Share of population compared to establishments in each region in

Tables

• Number and share of establishments in each region in
• Number and share of revenue each region accounts for in
• Number and share of wages each region accounts for in
• Number and share of employees in each region in

Detailed analysis

• Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
• Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Construction quality is closely related to the smooth progress of the construction projects. In addition, safety has been growing in importance, and both clients and construc...

In this chapter (4)

• Concentration
• Barriers to Entry
• Substitutes
• Buyer & Supplier Analysis

Key metrics

• Industry concentration level
• Industry competition level and trend
• Barriers to entry level and trend
• Substitutes level and trend
• Buyer power level and trend
• Supplier power level and trend

Charts

• Market share concentration among the top 4 suppliers from -
• Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

• Factors impacting the industry's level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
• Key success factors for businesses to manage the competitive environment of the industry.
• Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
• Key success factors for potential entrants to overcome barriers to entry.
• Competitive threats from potential substitutes for the industry's own products and services.
• Key success factors for how successful businesses can compete with substitutes.
• Advantages that buyers have to keep favorable purchasing conditions.
• Advantages that suppliers have to maintain favorable selling conditions.
• Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

The construction equipment industry in China is still in its early stages. The construction equipment leasing market in our country has a large scale and many competing enter...

In this chapter

• Market Share Concentration
• Companies
• Company Spotlights

Charts

• Industry market share by company in through
• Major companies in the industry, including market share, revenue, profit and profit margin in

Detailed analysis

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

From the legal protection during the contract signing process and the legal protection during the performance process. To serve as a warning to both parties of the lease and ...

In this chapter

• External Drivers
• Regulation & Policy
• Assistance

Key metrics

• Regulation & policy level and trend
• Assistance level and trend

Charts

• Regulation & Policy historical data and forecast (-) 
• Assistance historical data and forecast (-) 

Detailed analysis

• Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
• Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
• Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The profit of the construction equipment industry is declining. Economic growth in China has been slowing in recent years, especially in the real estate sector.

In this chapter

• Cost Structure
• Financial Ratios
• Key Ratios

Key metrics

• Profit margin, and how it compares to the sector-wide margin
• Average wages, and how it compares to the sector-wide average wage
• Largest cost component as a percentage of revenue
• Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

• Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in
• Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in
• Investment vs. share of economy

Data tables

• Cash Flow & Debt Service Ratios (-)
• Revenue per Employee (-)
• Revenue per Enterprise (-)
• Employees per Establishment (-)
• Employees per Enterprise (-)
• Average Wage (-)
• Wages/Revenue (-)
• Establishments per Enterprise (-)
• IVA/Revenue (-)
• Imports/Demand (-)
• Exports/Revenue (-)

Detailed analysis

• Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

• Revenue (-)
• IVA (-)
• Establishments (-)
• Enterprises (-)
• Employment (-)
• Exports (-)
• Imports (-)
• Wages (-)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Construction Equipment Services industry in China in ?

The market size of the Construction Equipment Services industry in China is $15.8bn in .

How many businesses are there in the Construction Equipment Services in China industry in ?

There are 4,090 businesses in the Construction Equipment Services industry in China, which has grown at a CAGR of 2.4 % between and .

Has the Construction Equipment Services industry in China grown or declined over the past 5 years?

The market size of the Construction Equipment Services industry in China has been growing at a CAGR of 1.9 % between and .

What is the forecast growth of the Construction Equipment Services industry in China over the next 5 years?

Over the next five years, the Construction Equipment Services industry in China is expected to grow.

What does the Construction Equipment Services in China include?

Providing concrete mixing services and Providing tower crane machinery operation services are part of the Construction Equipment Services industry.

How competitive is the Construction Equipment Services industry in China?

The level of competition is moderate and increasing in the Construction Equipment Services industry in China.

Related Industries

Widen your competitive advantage with related industries

Competitors

• There are no industries to display.

Complementors

• Building Construction in China
• Bridge, Tunnel and Subway Construction in China
• Engineering Services in China

International industries

• Heavy Equipment Rental in the US
• Concrete Contractors in Canada
• Heavy Equipment Rental in Canada
• Concreting Services in Australia
• Construction Machinery and Operator Hire in Australia

View all industries in China

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld's editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in China include:

• National Bureau of Statistics China
• General Administration of Customs
• People's Bank of China

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

• Industry and trade associations
• Industry federations or regulators
• Major industry players annual or quarterly filings

Finally, IBISWorld's global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld's analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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