The heavy construction equipment market has shown consistent improvement in global sales since 2012. Some countries around the world have seen the increasing sales take on a significant role in pricing for used goods, and the growing demand for new goods have reduced prices for used equipment.
North America went from being the leader in the construction equipment market to falling behind China, during the recession. In 2011, China had almost twice the amount of sales as North America, but in 2012 China’s growth has eased, while North America is predicting 15% increases.
Rental companies have also seen increase in demand, allowing them to make way for new machinery. As rental companies are more and more able to purchase new equipment, the used equipment market is seeing improvements. Because of increasing replacement rates by rental companies, the used equipment inventories are becoming larger. This resulted in a slight decline in prices of machines during the summer of 2012.
Overall, used equipment prices are still significantly lower than they were prior to the recession when sales decreased more than 50%.
Compactors and backhoe loaders are listed as the top-selling equipment while wheel loaders and aerial equipment have shown the largest decline for 2012. Experts predict machinery and tools for oil and gas-related jobs, as well as road construction and infrastructure projects will see a positive jump throughout 2013.