Canadian Rental Association Forecasts 3.4 Percent Growth for 2025

The Canadian Rental Association announces its Q1 2025 forecast, highlighting continued growth in the equipment rental industry despite broader economic challenges and shifting trade dynamics.

Canadian equipment rental revenue is projected to rise 3.4 percent in 2025, reaching $8.5 billion for the year, the CRA said. Momentum is expected to carry into 2026, with a 4.6-percent increase in revenue, indicating a resilient industry outlook. By 2029, the Canadian rental market is forecast to expand to $10.5 billion.

“Despite uncertainty in the broader economic landscape, the rental industry remains a dependable and growing sector,” said Melanie Misener, executive director of the Canadian Rental Association. “Our members continue to play a vital role in supporting key construction, industrial, and infrastructure projects across the country.”

Key sector highlights include:

·                  Construction and industrial equipment rental: Anticipated to grow 4.0 percent in 2025 to $6.6 billion, supported by non-residential construction activity and increased oil sands investment. The segment is expected to reach $8.2 billion by 2029.

·                  General tool rental: Growth is expected to moderate to 0.9 percent in 2025, with a recovery in 2026 leading to 3.7 percent growth. Longer-term growth remains solid, with revenues projected to reach $1.8 billion by 2029.

·                  Tent and event rentals: Slated to grow 2.5 percent in 2025, with stronger growth of 5.5 percent expected in 2026. The segment is forecast to reach $461 million by 2029.

While trade policies and inflationary pressures are creating uncertainty across multiple sectors, the Canadian rental industry is well-positioned to navigate these changes. Growth in non-residential building and strategic infrastructure spending continues to drive demand for rental equipment.

The CRA remains committed to supporting its members through advocacy, market intelligence, and professional development as the industry adapts to evolving economic conditions.