Construction Machinery Sales Could Fall 18%

The market for construction machinery showed good results in Q1 2020, following ruble devaluation and the construction of hospitals. However, it began to decline in April, and the Association of European Business (AEB) expects an 18% decline for 2020 instead of the small growth forecasted earlier.

Maxim Sakov
Maxim Sakov

The most significant sales decline is expected for excavators, loaders and dump trucks. Only crawler tractors can avoid decrease, however, it’s still 32.6% worse than pre-crisis expectation.

Experts note that the largest decline is likely to be in more expensive applications, or where existing fleets have larger reserves. In cases where there are no support measures, the decline could be as much as 50% or more.

However, one positive signal is that there are no plans to reduce road construction projects.

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Used Construction Equipment Prices Fall in SE Asia, Demand Slows with COVID-19

The prices of used construction equipment continue to fall, and bidding prices at major auctions are 10% lower than in the same period last year. This is due to a decrease in demand from Southeast Asia due to the COVID-19.

Akihiro Komuro
Akihito Komuro

Demand in Japan is steady due to the torrential rains in Kyushu and other factors, but the price decline in overseas markets has lowered the overall market.

Demand in the Philippines and Thailand also declined. In Southeast Asia, demand for cranes and other infrastructure-related equipment has been high for the past few years, but there have been several construction delays and stoppages caused by COVID-19. The average unit price at the crane truck auction was about 6 million yen, a 20% drop from January to March before COVID-19.

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Power Systems Research and JCB Power Systems Offer Construction Equipment Outlook Webinar


On Monday, Nov. 30, 2020, at 9:00 am CST, representatives of two leading international firms will present a free one-hour webinar discussing the construction outlook in Europe and North and South America.

During the session, Power Systems Research and JCB Power Systems will present the latest information on the impact of COVID-19 on construction equipment production. JCB will provide details on emissions in developing engine technologies that are coming to market across the globe.

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Construction Equipment Set for Substantial Growth

INDIA REPORT
Aditya Kondejkar

The construction equipment industry anticipates a robust 5-year outlook with a projected 15% year-on-year growth. This optimistic forecast is anchored in the momentum generated by ongoing construction projects and increased infrastructure spending. The government’s substantial allocation of $130.57 billion (Rs 10 lakh crore) underscores its commitment to fortifying this sector.

Moreover, the recognition of the scale and technological prospects within the construction landscape further emphasizes the strategic importance of advancements in this domain.

Source: Times of India:   Read The Article

The construction equipment (CE) sector has undergone significant transformation over the past 2-3 years, marked by major players reaching peak manufacturing capacities and subsequently embarking on expansive growth initiatives.

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PSR/JCB Power Systems Construction Outlook Webinar

On November 30th, Power Systems Research with JCB Power Systems presented a webinar providing the 2021 outlook for construction equipment production and engine emissions trends in North America, South America and Europe.

The presentation included the latest information on COVID-19 impacts on construction equipment production. JCB Power Systems provided details regarding emissions in developing engine technologies that are coming to market across the globe.

New Products at FENATRAN-Brazil

Scania displayed CNG trucks and biogas production systems at its booth as a clear bet on this technology growing against Diesel in Brazil. At FENATRAN, the 22nd International Road Cargo Transport Trade Show, it sold its first regular production R 410 fueled by CNG to RN Logistics. The truck will operate at the São Paulo – Rio de Janeiro route.

Scania Pushes First CNG Truck at FENATRAN

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John Deere Plans Construction Equipment Plant

Fabio Ferraresi
Fabio Ferraresi

John Deere has just announced an investment of US$ 35 million (R$ 190 million) in the production facilities for its Construction Division, two manufacturing units located in Indaiatuba, in the interior of São Paulo. The goal is to expand capacity to meet the growing demand for machines and to implement its Smart Connected Factory program, or Industry 4.0, which encompasses technologies to increase efficiency, quality in processes and reduce operating costs.

Source: Investe São Paulo  Read The Article

PSR Analysis: John Deere is reaching production capacity with the huge growth of demand for Construction Equipment in Brazil in recent years. This demand should continue and should keep increasing with the planned Infrastructure Investments and the continued expansion of the Mining business. Moreover, the strategy of localization, making products in Brazil rather than importing, making Brazilian plants a hub for exports, needs continued investment.   PSR

Fabio Ferraresi is Director Business, Development South Americafor Power Systems Research

Yanmar To Analyze Data on Agricultural and Construction Equipment

Yanmar Holdings announced it will begin operating Yanmar Synergy Square, a support base for monitoring the operational status of customers’ agricultural and construction equipment, beginning Oct. 19, 2020.

Data will be collected and analyzed via communication from sensors installed on machines and equipment. It will suggest parts replacement and maintenance before they malfunction. It was built at a cost of 2.5 billion yen (23.8 million USD) and will be operated by Yanmar Global CS, a subsidiary of the company.

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São Paulo Starts Construction of BRT Aiming Electric Buses

BRAZIL REPORT

The São Paulo Government has announced the start of a BRT line, going through cities surrounding the São Paulo capital city with plans to be operating in 2023. This line has 17 km of extension and will use 82 Battery Electric Articulated 23 meter buses.

Source: M&T      Read The Article

PSR Analysis: The cities surrounding São Paulo Capital have started deploying the initiatives of the main city, as expected. São Paulo City has a more aggressive plan for using BE Buses  with 800 for 2022 and the average of 1600 per year from 2023 to 2032.  PSR

Fabio Ferraresi is Director Business Development South America, for Power Systems Research

A New Class of Hybrids

The word “hybrid” in the power generation universe has generally been understood to mean a fossil-fuel engine supplemented by another power source, usually a renewable.

Tyler Wiegert
Tyler Wiegert

Then, the word grew to include vehicles and equipment that ran primarily on battery power but could be switched to a smaller engine that would recharge the battery while it ran.

Now, we are entering a time when “hybrid” includes drive systems that are primarily renewable-based and supplemented by an additional renewable system.

In this sphere, alternative power has primarily meant batteries and hydrogen fuel cells; one of the major impediments to wide adoption has always been range.

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