Turkey Construction Equipment Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 1.7 Billion |
| Market Size (2029) | USD 2.5 Billion |
| CAGR (2024 - 2029) | > 6.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Turkey Construction Equipment Market Analysis
The Turkey Construction Equipment Market size is estimated at USD 1.7 billion in 2024, and is expected to reach USD 2.5 billion by 2029, growing at a CAGR of greater than 6.5% during the forecast period (2024-2029).
Over the medium term, One of the major factors driving the growth of the market is the growing construction industry, owing to numerous growth opportunities in infrastructure, residential, and non-residential sectors.
The rise in the construction of multi-family houses (with the growing trend of nuclear families) and increasing investments in the construction of roads, highways, smart cities, metros, bridges, and expressways due to the growing population and urbanization. This is likely to enhance the demand for construction equipment during the forecast period.
By 2023, the Turkish government plans to construct 2,000 kilometers of high-speed rail lines from Kars in northeast Turkey to Edirne in western Turkey, with China funding a portion of the project. The government also wants to increase renewable energy's share of electricity generation to 38.8% by 2023, up from 32.5% in 2018. With the increase in construction investment across the country, the demand for construction equipment will be high in the coming years, which in turn is likely to witness major growth for the market during the forecast period.
Turkey Construction Equipment Market Trends
Rising Focus On Infrastructure Activities To Drive Demand In The Market
- The construction sector in Turkey is poised for growth during the forecast period, driven by ongoing road and railway infrastructure projects, residential housing construction, as well as office and warehouse developments. The government's emphasis on energy sector development, particularly in renewable energy, is expected to further fuel industry expansion in the coming years.
- In 2022, the construction sector accounted for approximately 4.7% of Turkey's total gross domestic product (GDP). This substantial growth can be attributed to high economic growth, an expanding affluent population, increased foreign investment, and various infrastructure initiatives, including megacities, railway projects, new airports, and housing projects, all of which are projected to bolster the market throughout the forecast period.
- Notably, in 2021, the Asian Infrastructure Investment Bank (AIIB) approved USD 338.02 million in funding for Turkey's Ispartakule-Cerkezkoy Railway Project, with an additional USD 169.01 million contribution from the European Bank for Reconstruction and Development (EBRD). This project involves the construction of a double-track electrified high-speed railway between Ispartakule and Cerkezkoy.
- The demand for construction equipment is further expected to rise due to factors such as increased residential investments by both domestic and foreign buyers in modern and innovative apartments in Turkey, bank-led promotional campaigns, and the reduction of home loan interest rates announced by the Turkish government in May 2022. For example, in 2021, residential property sales in Turkey surged by 15% year on year, reaching 137,401 houses sold, up from 119,574 the previous year.
- With these developments unfolding across the country, the demand for construction equipment is poised to experience significant growth during the forecast period.
Technological Advancements in Construction Equipment Expected to Witness Growth
- Rising technological advancements and digitalization in construction equipment are anticipated to offer enormous growth in the construction equipment market during the forecast period. Moreover, growing product launches and innovations further enhance the adoption of construction machinery in the country.
- The face of the industry is changing fast as engineering firms, contractors, and other value chain participants discover the benefits of new technologies like machinery telematics and progressively adopt them. These technologies may help integrate assets, people, processes, and job sites on a single platform, allowing everyone and everything to work smarter, decrease downtime, improve asset utilization and efficiency, and gain more visibility into operations.
- Building information management (BIM), digital supply networks, digital twins, predictive maintenance, prefabrication and modular construction, asset monitoring, and autonomous vehicles are uses of telematics technology.
- Besides, there are several benefits of telematics in construction machinery for the owners, such as helping productivity and drastically reducing operating costs. For instance, the telematics data can be used to analyze the asset allocation data. Telematics can be used to monitor the performance of the operator and improve the efficiency of the equipment by identifying the operator's inputs.
- The commercial building industry's growing demand for digital and technological capabilities is anticipated to drive the adoption of the construction machinery market. Owing to the increased adoption of such technology, many heavy machinery manufacturers are offering benefits to the equipment owners, along with a detailed analysis of the equipment's operation.
- For instance, Caterpillar, by using advanced analytics and big data, helps its customers manage and monitor their assets. These technologies focus on telematics to digitally connect and monitor assets, alert owners to predictive maintenance opportunities, improve uptime, enhance operator guidance and awareness, etc.
- With the above-mentioned instances, the country is witnessing major growth in terms of revenue during the forecast period.
Turkey Construction Equipment Industry Overview
The significant presence of key industry leaders, including Caterpillar Inc., Kobelco Construction Machinery Ltd., SANY Group, Liebherr Group, and several other prominent players, currently marks the Turkish construction equipment market. The robust growth in construction activities throughout the nation is poised to drive the demand for construction equipment in the foreseeable future.
For instance, in April 2022, the Turkish government made a substantial commitment by announcing a substantial investment of USD 197.9 billion dedicated to various infrastructure development projects. These projects encompass the construction of roads, expansion of rail infrastructure, improvements in maritime facilities, and other vital initiatives aimed at enhancing the country's infrastructure.
In March 2022, Volvo Construction Equipment made a significant contribution to the Turkish construction equipment landscape. They introduced their advanced EC550E crawler excavator into the Turkish market. This cutting-edge excavator is meticulously designed to tackle large-scale infrastructure projects with remarkable efficiency and high production capacity, aligning perfectly with Turkey's burgeoning construction requirements.
Turkey Construction Equipment Market Leaders
-
Kobelco Construction Machinery Co., Ltd.
-
Caterpillar inc.
-
Liebherr Group
-
SANY Group
-
Komatsu Ltd.
*Disclaimer: Major Players sorted in no particular order
Turkey Construction Equipment Market News
- June 2023: The governments of Turkey and Iran forged an agreement to jointly embark on the construction of a novel residential city. This ambitious project is backed by a substantial investment of USD 17 billion, underscoring the commitment of both nations to its successful realization.
- June 2022: Hidromek introduced a cutting-edge hydraulic system tailored for their H4 Series excavators in the Turkish market. This particular excavator model stands out as one of the most fuel-efficient construction equipment offerings from the company, contributing to more sustainable and cost-effective construction practices.
- Feb 2022: Zoomlion Turkey accomplished a significant milestone by delivering the initial batch of E-10 series excavators throughout Turkey. This strategic move expanded the company's product portfolio and market presence across the country, further solidifying its position as a key player in the Turkish construction equipment industry.
Turkey Construction Equipment Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.1.1 Rise in Infrastructure Development
4.2 Market Restraints
4.2.1 Construction Equipment Rental Service May Affect the Growth
4.3 Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size in Value - USD)
5.1 By Machinery Type
5.1.1 Cranes
5.1.2 Telescopic Handlers
5.1.3 Excavators
5.1.4 Loaders
5.1.5 Motor Grader
5.1.6 Other Equipment
5.2 By Propulsion
5.2.1 Internal Combustion Engine
5.2.2 Electric and Hybrid
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 Caterpillar Inc.
6.2.2 SANY Group
6.2.3 Komatsu Ltd
6.2.4 Liebherr Group
6.2.5 Kobelco Construction Machinery Co., Ltd.
6.2.6 Zoomlion Heavy Industry Science&Technology Co., Ltd.
6.2.7 AB VOLVO
6.2.8 YANMAR HOLDINGS CO., LTD.
6.2.9 XCMG Group
6.2.10 HIDROMEK
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Turkey Construction Equipment Industry Segmentation
Construction equipment is used for the execution, completion, erection, operation, or maintenance of any construction project or work. Construction equipment is also used in earthmoving works during the construction of roads, bridges, and dams. Some construction equipment, like excavators and wheel loaders, are also used in mining.
The Turkey construction equipment market is segmented by machine type and propulsion. By machinery type, the market is segmented into cranes, telescopic handlers, excavators, loaders, motor graders, and other equipment. Based on the propulsion, the market is segmented into internal combustion engine, electric, and hybrid.
For each segment, the market sizing and forecast have been done based on the value (USD).
| By Machinery Type | |
| Cranes | |
| Telescopic Handlers | |
| Excavators | |
| Loaders | |
| Motor Grader | |
| Other Equipment |
| By Propulsion | |
| Internal Combustion Engine | |
| Electric and Hybrid |
Turkey Construction Equipment Market Research Faqs
How big is the Turkey Construction Equipment Market?
The Turkey Construction Equipment Market size is expected to reach USD 1.7 billion in 2024 and grow at a CAGR of greater than 6.5% to reach USD 2.5 billion by 2029.
What is the current Turkey Construction Equipment Market size?
In 2024, the Turkey Construction Equipment Market size is expected to reach USD 1.7 billion.
Who are the key players in Turkey Construction Equipment Market?
Kobelco Construction Machinery Co., Ltd., Caterpillar inc., Liebherr Group, SANY Group and Komatsu Ltd. are the major companies operating in the Turkey Construction Equipment Market.
What years does this Turkey Construction Equipment Market cover, and what was the market size in 2023?
In 2023, the Turkey Construction Equipment Market size was estimated at USD 1.59 billion. The report covers the Turkey Construction Equipment Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Turkey Construction Equipment Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Turkey Construction Equipment Industry Report
Statistics for the 2024 Turkey Construction Equipment market share, size and revenue growth rate, created by 糖心vlog传媒鈩� Industry Reports. Turkey Construction Equipment analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
