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SVP Japan's Construction Machinery Market Report

SVP Japan, a leading market research service provider based in Chuo, Tokyo, has recently published a detailed market analysis report titled "Construction Machinery - Current Status and Future Outlook of the Domestic Market". This report, exclusively available to SVP members, emphasizes the ongoing trends and growth potential of the construction machinery industry in Japan.

Domestic Market Overview

The domestic construction machinery market is projected to expand continuously, driven by increasing infrastructure demands and growth in emerging markets. By 2026-2027, the market size is expected to exceed ¥1 trillion. After maintaining positive growth from 2021 to 2023 due to the resolution of parts shortages, the year 2024 is expected to see a decline due to rising interest rates and slowed private construction investments. This marks the first negative growth since the COVID-19 pandemic, with an estimated decrease of about 5% year-on-year.

Among various product categories, hydraulic excavators account for approximately 40% of the total market share. However, a significant decline in this category is anticipated for 2024, which may negatively impact the overall market performance. Conversely, both cranes and tractors have shown steady demand, indicating resilience in these sectors. Notably, sales of replacement parts have increased, and machine operation on-site remains robust.

Despite the anticipated downturn, a recovery in demand is expected by late 2025, leading to a narrowing of the decrease. The integration of next-generation products, such as ICT-enabled machinery and electric excavators, is facilitating responses to labor shortages and environmental challenges, serving as crucial components in supporting medium- to long-term growth scenarios.

Market Composition

The structure of the domestic market reveals that hydraulic excavators capture the largest market share at around 40%, followed by construction cranes and civil engineering tractors. Together, these top three products account for 80% of the total market. From a revenue perspective, stable income is bolstered by after-sales services, including parts and maintenance, in addition to the sale of construction machinery.

Key players in the industry include Komatsu, which maintains a dominant position in the domestic market, followed by Hitachi Construction Machinery and Caterpillar Japan. Together, these three companies hold nearly half of the market share. Additionally, Kubota is recognized for its presence in the compact machinery segment, while Tadano is acknowledged for its specialization in cranes.

In the global market, Chinese manufacturers such as SANY, XCMG, and Zoomlion are rapidly expanding their influence and making strides in entering the Japanese market.

Structure of the Report

The report consists of several comprehensive sections, including:
1. Market Definition
2. Market Trends
3. Market Size and Forecasts
4. Market Share Analysis
5. Trends of Participating Companies
6. Industry Structure

Accessing the Report

The usage of this report is exclusively available to SVP members. Interested parties are encouraged to become SVP members, allowing access to regularly distributed market research reports in addition to quick and custom research services related to business inquiries.

For more details, please refer to the information provided below:

About SVP Japan

SVP Japan is a membership-based provider of business information services, founded in 1974. Its mission is to bring valuable business insights closer to its members, supporting informed decision-making, particularly among large enterprises across a global network spanning 40 countries. In 2021, SVP Japan revitalized its governance structure and expanded its information-providing services to adapt to an evolving industry landscape, marking the beginning of a new phase of growth.

Company Overview

• - Company Name: SVP Japan Co., Ltd.
• - CEO: Masashi Hashimoto
• - Location: 2F Miyamae Building, 1-38-9 Kakigaracho, Nihonbashi, Chuo, Tokyo
• - Establishment Date: July 1, 1974
• - Business Description: Membership-based business information service provider
• - Website: SVP Japan