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Europe Construction Equipment Rental Market size to reach US$47 Bn by 2026

Europe Construction Equipment Rental Market size to reach US$47 Bn by 2026

According to a recent study from market research firm Graphical Research, the Europe construction equipment rental market size is set to register a significant growth during the forecast timeframe, owing to surging road infrastructure and smart city developments in the region. Construction firms and government authorities are taking various initiatives to ensure consistent infrastructural development.

To illustrate, in 2019, the Bouygues Construction Company inked an agreement to broaden four lanes of the Istria Motorway’s 28.1-kilometre pathway in North-Western Croatia. The contract, awarded by concession company Bina Istra, was valued at around $200 million. 

The construction equipment rental industry in Europe is also likely to amass hefty proceeds in the years ahead, given consistent technological evolution, including the integration of ADAS (autonomous driver assistance systems) and telematics into building equipment. Telematics systems can deliver timely alerts and machine diagnostics to decrease the downtime, theft and misuse of the equipment. I

t also improves efficiency, security and productivity of operations. Shifting propensity of consumers towards technologically advanced rental equipment will also accelerate market expansion in the region. It has been estimated that the Europe construction equipment rental market size will surpass $47 billion by 2026.

Burgeoning developments in public infrastructures like railways and airports across France, Italy and Germany will boost construction equipment rental market trends. Escalating investment interest from governments toward infrastructure development will also impel the equipment rental demand. 

In March 2019, the Milan Bergamo airport in Italy announced a nearly $503.09 million investment for a development plan through 2030. This investment was intended to cover the airport’s expansion by increasing the size of the terminal and developing additional facilities at the airport. 

With respect to product, the concrete equipment rental segment is poised to gain significant momentum over the upcoming years, given the growing adoption of sophisticated concreting machines on construction projects. The concrete equipment segment is further bifurcated into transit mixers, concrete pups, asphalt pavers, batching plants and crushers. 

Among these, asphalt pavers are garnering considerable demand for road building projects across Europe. For instance, in 2014, the Polish government announced a plan to facilitate the development of more than 1,800 km of new highways in Poland by 2021, with an investment of over $13 billion from the European Union.

The Europe construction equipment rental market landscape is bolstered by the presence of key companies including Cramo PLC., Boels Rental, Loxam Group, Hertz Corporation, Nesco Rentals, United Rentals, and Caterpillar Inc. These firms are engaging increasingly in strategies such as product expansions and acquisitions, in order to sustain a commendable position in the market. 

During 2021, Loxam Group introduced its LOXGREEN range to deliver eco-friendly rental services. Meanwhile, United Rentals in July 2018 expanded its operations across Europe through the acquisition of BakerCorp, in a deal worth $715 million.