Despite a slowing in China’s economy, the crane market there is expected to grow at a compounded annual growth rate of almost 16 percent from 2015 through 2019 according to a new report from Technavio. According to the new research report, as of 2014, China’s urban population accounted for 54 percent of the total population. Rapid urbanization has been driving a change in lifestyle, leading to a rise in demand for new houses and infrastructure development such as roads, sewage facilities and transit systems.
“To cater to the needs of the growing urban population, the Chinese government is focusing on urban development projects such as New Urbanization Plan 2014-2020 in major cities like Shanghai and Beijing,” said Faisal Ghaus, vice president of Technavio. “It is predicted that the surge in infrastructure development activities in urban areas will drive the growth market.”
The report emphasizes the significant growth of the crane rental business in China.
“Vendors such as XCMG, Zoomlion, Guangxi LiuGong Machinery, and Sany have started providing equipment on rent,” added Ghaus. “This allows construction companies and SMEs to utilize the equipment without the need for major investments."
The report considered revenue generated from sales of truck cranes, crawler cranes, all-terrains and tire cranes.
For more information, go to: http://www.technavio.com/report/crane-market-in-china-2015-2019.
