Future Market Insights has released a new study on the global mobile crane market. It indicates sales of mobile cranes are in a recovery phase at the moment, similar to other heavy equipment segments. The research firm notes uncertainty about the construction industry is impacting crane sales, though the long-term outlook is positive.
Recovery in construction, shipping and oil & gas will be a key element to increasing mobile crane sales in 2021, notes Future Market Insights. The company goes on to say that COVID-19 vaccination programs and optimism there will not be a second wave in areas such as China and India are raising hopes for a recovery of the market in 2021. However, it also notes it will be a long journey to that recovery.
China, oil & gas industry to play key role in crane sales
China is seen as a key market for mobile crane sales due to its early economic recovery from COVID-19. In addition, the Chinese government has been heavily investing in infrastructure projects which has lead to increased demand for various types of construction equipment including mobile cranes.
According to the new study, crane manufacturers are looking to strengthen their position in the Asia-Pacific (APAC) region as that is where much of the construction activity is taking place. Doing so will also help overcome the weakness currently being experienced in the U.S. and Europe. China and India will likely see heightened activity, as well, due to their high investments in infrastructure.
“While [an] increase from residential, commercial, and industrial construction sectors is spurring the growth of mobile crane manufacturers, availability of new products with wider variety is driving more potential buyers to this industry. This in turn is creating unlimited new opportunities for stakeholders in mobile cranes market,” says a Future Market Insights analyst.
The oil & gas industry will also play a key role in mobile crane sales over the long term, notes the study. Future Market Insights sites a report from the International Energy Agency (IEA) title "Oil 2020-Analysis" which indicates global oil demand is expected to rise 5.7 mb/d (thousand barrels of oil per day). China and India are expected to account for about half of that growth.
Global oil production capacity is expected to rise by 5.9 mb/d, with non-OPEC supplies rising by 4.5 mb/d. OPEC (Organization of the Petroleum Exporting Countries) will build another 1.4 mb/d of crude and natural gas capacity. Future Market Insights says these figures indicate a high potential for mobile crane sales as they are often used by the oil & gas industry.
Additional key takeaways from the new Future Market Insights study include:
- Crawler cranes continue to be a top-selling category
- All-terrain mobile cranes to emerge lucrative
- APEJ (Asia Pacific Excluding Japan) to exhibit fastest growth rate through 2031 with its epicenters in China & India
- The United States to hold the major share in the North American mobile cranes industry
- Germany to maintain its lead in the mobile cranes industry of Europe
- The United Kingdom, Canada, Japan, France, and a few others to maintain positive outlooks