Global demand for off-road equipment – including construction, agricultural, mining, and forestry machinery – is forecast to rise 5.4% to US$439 billion (€364.64bn) in 2021, according to a new report by major business market intelligence consultancy the Freedonia Group.
Following a sharp decline in 2020 to US$416bn (€345.53bn), demand is expected to rebound in 2021 as revenues in these industries rise, and machine purchases resume. According to Freedonia, mining will see a particularly strong bounce back, as it was deemed “nonessential” in parts of the world, forcing operations to idle for several months.
Freedonia’s 184-page Global Off-Road Equipment Technology 2021 report forecasts a CAGR (compound annual growth rate) in the global off-road equipment sector of 3.8% in the 2021-2025 period.
A report breakdown of the 2020 sales of off-road equipment by type shows that 45% were construction units, 29% were agricultural units, 24% were mining machines, and 2% forestry models.