South America Construction Equipment Rental Market Research Report, 2028

South America is likely to grow at a modest rate due to niche opportunities for the development of manufacturing industries and the limited presence of global market players. An additional factor dictating the sluggish growth of the region is the underdeveloped distribution channel for the market. The governments' investment in developing public infrastructures such as roads, airports, ports, and the energy sector is expected to bring strong growth to the construction equipment market in South America. There is robust demand for construction equipment in the region. Contractors, mining, and construction companies are the major customers of the equipment on the market. Rental companies such as Carlyle Group, Grupo Orguel, and BigRentz have a fair share of the market. An upsurge in global commodities prices positively drives the South American mining sector. Enhanced demand for natural resources in recent years will positively impact demand for construction equipment used in the mining industry, such as excavators, loaders, and cranes. There is robust demand for construction equipment in the region. Contractors, mining companies, and construction companies are the major consumers of the South American construction equipment rental market. According to the research report, "South America Construction Equipment Rental Market Research Report, 2028," published by Actual Market Research, the market is anticipated to grow by USD 1.21 billion from 2023 to 2028. Investment in renewable energy projects has risen across the region due to the government's agenda of achieving carbon neutrality by 2040, thus driving growth for the South American construction machinery market. For instance, in Chile, the government is creating a regulatory framework to enable the installation of power storage on a large scale, which would allow the energy sector to be fully decarbonized. These factors are in turn propelling significant market growth in the upcoming time period. The demand for heavy construction equipment has increased within the region, particularly in Colombia and Chile, owing to rapid urbanisation and a heavy investment in infrastructure development. Both Colombia and Chile have embarked on major road and highway construction programmes as well as instigated projects for massive new tunnels and bridges. In addition, key market players, such as Caterpillar, Komatsu, and Volvo CE, are working on developing more efficient earthmoving machines that will help reduce carbon emissions and improve performance. Brazil will lead the market in 2022, according to the countries.

What's Inside a Actual Market Research`s industry report?

Asia-Pacific dominates the market and is the largest and fastest-growing market in the animal growth promoters industry globally

Download Sample

New technologies have become more prevalent in the industry, including digital services for automatically upgrading services, tracking equipment services, and mapping features. The adoption rates of construction equipment in rental services are rising as a result of the technical breakthroughs provided by the original equipment manufacturers. As a result of technical advancements in the automotive and heavy machinery industries, the market for construction equipment rentals has seen the introduction of many new features. Manufacturers of construction equipment are attempting to provide improved safety features like lift assistance, 360-degree camera vision, and extra work lights, as well as innovations that increase operational efficiency and require less maintenance. However, these features come at a high price that many small contractors and builders cannot afford. As a result, a lot of professionals choose to rent construction machinery. Renting construction equipment can save on operating, maintenance, and labour expenditures in addition to the cost of buying new equipment. Additionally, the expense of on-time upkeep, maintenance, and inspection is avoided. To make a long-term profit from the equipment, construction equipment rental companies must consistently complete all of these tasks. The customer experience is further enhanced by these companies’ growing emphasis on providing onsite services and equipment maintenance. For instance, Caterpillar Inc. offers quick response teams to help customers in remote areas using mobile maintenance vans. The equipment rental market is made up of various industry players or construction equipment operators. In South America, the equipment rental industry is therefore mainly aimed at public works, construction, and extraction companies. More broadly, the rental of construction equipment includes all the equipment used by construction companies on construction sites in addition to equipment strictly intended for the construction itself. Also, the machine rental market can be addressed to individuals wishing to rent certain construction machinery or equipment for personal use. At the same time, the audio-visual industry is also becoming increasingly important in the equipment rental industry. Between renting or buying equipment, renting is nowadays one of the most interesting choices for construction companies, especially in a context of crisis and uncertainty. This has led to a recovery in activity. This revival of the equipment rental industry is due to the global awareness of the construction industry in terms of digital and eco-responsibility, but also many other parameters. Among others, the improvement of the rate of rotation and the increase in the value of the fleet that management software allows has largely driven the machine rental market. After years of preparation, Hitachi Construction Machinery Americas Inc. (HCMA) is launching the next chapter for Hitachi Construction Machinery in North America and South America. On March 1, 2022, HCMA officially began leading the Hitachi brand’s construction and mining equipment sales and service support efforts. The surge in infrastructure development projects in the southern and north-eastern regions of the country and the rise in mining activities are the major factors contributing to the Brazil construction equipment market's growth. The surge in transport development projects in 2022 is expected to boost the demand for construction equipment, especially in the road construction equipment segment in Brazil. Mini excavators are in high demand in southeast and southern cities such as Rio de Janeiro, Sao Paulo, Santo André, and north-eastern Brazil.

Make this report your own

We're excited to discuss your needs and our solutions. Let's schedule a call.

Ask an Expert

Kripa Shah

Senior Analyst

Investments by the Brazilian government in infrastructure development projects, including water drainage and renewable energy, are expected to drive the demand for excavators more than other earthmoving equipment. OEMs such as Caterpillar and Komatsu offer rental facilities through subsidiaries in South America. They introduced automation and AI technology in the construction equipment due to the growing demand from the mining and construction industries in the region. The increasing demand for construction equipment can be attributed to government initiatives and favourable policies for foreign investments in Brazil, which are expected to support the upcoming industrial developments in the construction industry. RendaloMaq makes it easy for contractors to rent, buy, or sell construction equipment in South America with a single point of contact. They operate from over 100 rental yards in Chile and Brazil, managing the region's largest inventory online. They find any equipment for users in minutes to help them build faster and become more productive. Their software gives equipment owners real-time data about the location and usage of the various machines they’re renting out, thanks to our GPS and telematics technology. Major Companies present in the market: Nikken Corporation, Caterpillar Inc., Sumitomo Corp., Hyundai Construction Equipment Ltd., Loxam Group, Finning International Inc, Maxima Carne Works Lp, Ashtead Group Plc, Considered in this report • Geography: South America • Historic year: 2017 • Base year: 2022 • Estimated year: 2023 • Forecast year: 2028

Don’t pay for what you don’t need. Save 30%

Customise your report by selecting specific countries or regions

Specify Scope Now

Aspects covered in this report • South America Construction Equipment Rental market with its value and forecast along with its segments • Country-wise Construction Equipment Rental market analysis • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Countries covered in the report: • Brazil • Argentina • Colombia By Equipment Type: • Earthmoving • Material Handling • Concrete & Road Construction • Others By Application Type: • Residential • Non-Residential • Others (Infrastructure, industrial, real estate, etc) The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Construction Equipment Rental industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.