Construction machinery rental market in the EU

A report has been released for the construction machinery rental market in the EU.
By MJ Woof October 30, 2020 Read time: 3 mins
A market report into the EU construction machinery rental sector is now available – image © courtesy of Mike Woof
The European Rental Association (ERA) has released its 2020 Market Report, which has been produced with the support of the ERA Statistics Committee.

This year, more than ever, providing a clear picture of the short- and medium-term outlook for the rental market is critical not only for rental companies, but also for equipment manufacturers.

This edition, comprising market trends and international comparisons, uses a common methodology and definition to analyse 15 European markets, with detailed market size results for 2017-18 (actual), 2019-20 (estimates) and 2021-22 (forecasts). These countries account for more than 95% of the equipment rental industry in the EU, European Free Trade Association (EFTA) and the UK.

In 2019, equipment rental companies and other companies providing rental services generated a total rental turnover of more than €27.7 billion in these countries (EU-EFTA-UK).

The release of national statistics vary across the region and this year there are only two countries, Germany and Austria, for which 2018 Eurostat data is available. For all the other countries, only 2017 figures are available. Therefore, for those, the 2018 and 2019 figures were based on forecast drivers only.

At a constant exchange rate, the equipment rental industry in the 15 countries saw growth of 4.1% in 2019. In 2020, there is an estimated decrease of 10.4%, with 2021 forecast to increase by 4.8%, also at a constant exchange rate.

The headline conclusion from this year’s report is that 2019 was a year of growth for all the markets covered. This growth, however, was at different stages, with some markets already slowing down (France, Belgium, Sweden) and others still reporting robust growth (Germany, Poland, Italy). The first quarter of 2020 reflected these dynamics.

The COVID-19 pandemic, however, hit European economies over the second quarter of this year. The immediate impact differed from country to country. The Nordic countries, which did not lockdown and had almost no site shutdowns, have performed differently to southern Europe and the UK, which faced severe lockdowns and disruptions to activity. The UK has been further impacted by the uncertainty surrounding the Brexit negotiations.

The estimates and forecasts included in this report are based on assumptions at the end of September. The hypothesis is that there will be no further lockdowns across Europe apart from local and temporary restrictions. The forecast also does not factor in the development and mass availability of a vaccine.

It is important to stress the extreme conditions of 2020, which have been analysed with the forecasts for 2021. Large drops are expected this year, but significant rises – some of them due to technical rebounds – are expected in the short-term, as well as in the medium- to long-term.

The ERA Market Report is the leading source of market intelligence on the European equipment rental market and the only Europe-wide industry benchmark. It contains detailed market information for the years 2016 to 2022 and key indicators, including rental turnover, fleet value and investments.

The report is available digitally for ERA members (€500) and for non-members (€1,200).
Maintenance

Related Content

  • Research highlights Italian construction equipment sector difficulties
    November 16, 2012
    Global turnover recorded by Italian construction equipment companies in 2011 totalled €2.69 billion. Despite their global turnover increasing by 6.4% in 2011 compared to levels achieved in 2010, Italian construction equipment company turnover is still down 42% compared to 2008. Details of Cribis D&B’s findings following research commissioned by the Unacea trade association were revealed during the recent Construction Equipment Day at Ecomondo Fair in Rimini, Italy. Further Cribis D&B figures for 2011 show
    Read More
  • Road safety concern for Europe
    May 19, 2015
    A quick look at corporate results for some of the major construction equipment manufacturers paints a somewhat confusing picture of current demand. Caterpillar, the world’s largest manufacturer of off-highway machines and for so long a bell-wether for the construction sector, recently released results showing a drop in profits. CNH and Volvo CE too have been similarly afflicted with a lower than expected financial performance, perhaps a major factor in Volvo CE's decision to pull out of a joint venture part
    Read More
  • Intermat show looks strong
    May 9, 2012
    Forward bookings for the upcoming Intermat construction equipment exhibition in French capital Paris are extremely bullish. The organisers say that the show already has a 90% occupancy rate for its exhibition space, a full eight months before the 2012 event, which runs from 16h April to 21st April. The Intermat 2012 event will feature 375,000m2 of exhibition area, including a 20,000m2 outdoor demonstration area. In all 1,500 exhibitors have booked, 67% of whom are international and there will be four nation
    Read More
  • US labour shortage: an ever-growing problem
    May 31, 2022
    It’s a tight labour market that is hurting the construction sector. But there are ways to ensure a company has the best possible recruitment drive, according to the AEM, Association of Equipment Manufacturers*.
    Read More

Highlighted Content