'Significant new demand' for trucks in the GCC
A new PMV Live report has predicted a huge rise in revenues over the next 18 months in the construction sector.
Despite the worldwide financial crash in recent years, which cut sales by over a third, the market for earthmoving equipment showed a 1.67 percent compound annual growth rate (CAGR) between 2008 and 2012.
“By 2015, the global construction equipment market is expected to rebound to an estimated market size of $145.5 billion,” said the report by Ventures Onsite.
Holger Amann, director Liebherr Middle East FZE, commented: “The recovery of the project sector – and the growing scale of projects across the GCC – is creating significant new demand for heavy duty equipment in the region.
Construction for projects such as the Expo 2020 in the United Arab Emirates and the FIFA World Cup 2022 in Qatar are part of the story, but on-going investment in healthcare, education and housing projects has also supported healthy growth across the industry.”
Total construction projects in the GCC this year is forecast by Ventures to reach $195.67billion – up $35.8bn (22.4%) compared with 2013.
“The region’s increase in number of large scale infrastructure projects, either announced or already underway, are driving companies to seek a wider range of innovative, international solutions for their heavy construction needs - and we’ve seen this reflected through the immense year-on-year increase in exhibitors, participants and floorspace since the inception of the combined niche construction shows three years ago,” said Nathan Waugh, event director for PMV Live and Middle East Concrete.
The report concluded: “The future outlook for heavy machinery equipment in the GCC shows promising signs of riding on the success of the construction and infrastructure projects in the region.”