North America Heavy Machinery Maintenance and Repair Market is expected to reach US$ 108.11 billion by 2030

Rise in Demand for Used Machinery and Vehicles across Various Sectors Bolsters North America Heavy Machinery Maintenance and Repair Market Growth

According to our latest study on "North America Heavy Machinery Maintenance and Repair Market Forecast to 2030 – Regional Analysis – by Component and Application," the market was valued at US$ 74.10 billion in 2022 and is expected to reach US$ 108.11 billion by 2030; it is anticipated to record a CAGR of 4.8% from 2022 to 2030. The North America heavy machinery maintenance and repair market report includes growth prospects owing to the current North America heavy machinery maintenance and repair market trends and their foreseeable impact during the forecast period.

The use of machinery and equipment on a rental basis across the construction industry is increasing in North America. The purchasing cost of heavy machinery is considered high. Hence, consumers, including the mining and agriculture sectors, in North America prefer to buy used machinery and vehicles. Used excavator sales in the US reached approximately 13,403 units in January 2022, while Texas buyers accounted for ~12.1% of all the purchases, i.e., 1,626 units. Also, Georgia contributed ~5.4% to the overall sales with 726 units, while North Carolina sold 602 units, which accounted for 4.5%. These used vehicles and machinery require regular maintenance and repair to work efficiently. Several companies offer repair services for heavy equipment such as rock crushers, cranes, excavators, construction equipment, shaker screens, railroad maintenance equipment, dredge winch drums, etc. McClung-Logan Equipment Inc. offers heavy machinery maintenance and repair services for several brands, including AB Volvo, Volvo Penta, Takeuchi, Mecalac, Doosan Portable Power, Avant, Prinoth, K-Tec, Gradall, Shuttlewagon, Boxer, and Towmaster, among others.

North America Heavy Machinery Maintenance and Repair Market Share — by Region, 2022

Source: The Insight Partners Analysis

Further, the mining sector is growing at a rapid pace, and the sector uses several heavy machinery for digging and exploration activities. As per the data published by the National Bureau of Statistics (NBS), the mining sector accounted for US$ 144.84 billion in revenue generation in the first seven months of 2022, which increased by 1.05 times compared to 2021. China is the world’s largest producer and user of coal. As per the data published by China’s National Bureau of Statistics in January 2022, coal output reached a record 4.07 billion metric ton in 2021, up 4.7% from 2020. Such growth in the mining sector has propelled the demand for heavy machinery maintenance and repair services. The mining industry uses several types of machinery such as excavators, dozers, and crawlers. These machineries are costly and require regular maintenance and repair in order to work efficiently. The heavy machinery maintenance and repair services companies are providing repair services to enhance the machine’s life and improve the machinery’s efficiency.

In addition, many key players provide repair and maintenance services for several used industrial components such as centrifugal pumps, piston pumps, air conveying systems, cooling towers, and other machines across the agricultural, construction, retail, and manufacturing sectors. Thus, the rise in demand for used machinery and vehicles across various sectors drives the North America heavy machinery maintenance and repair market.

The North America heavy machinery maintenance and repair market analysis is carried out by identifying and evaluating key players in the market across different regions, including North America (US, Canada, and Mexico). North America has a strong presence in the manufacturing sector, with the economy opening significant opportunities for repair service providers. The manufacturing sector is the major economic factor for the growth of the market. The sector uses several heavy machinery such as textile machinery, packaging machines, heavy machinery, construction and earthmoving equipment, and mining machinery. Growing manufacturing output, along with increasing investments by the key manufacturers, is a major driving factor for the market. Further, the construction sector utilizes several machinery and equipment that require regular repair and maintenance. Growing rapid investments in the construction sector with government funding for infrastructure developments is another major factor driving the North America heavy machinery maintenance and repair market size. The construction sector utilizes heavy machinery and vehicles such as dozers, excavators, compact track loaders, tractors, skid steers, motor graders, and trenchers. These machinery and vehicles are expensive and require regular maintenance and repair for their efficient working. The machinery owners utilize the repair and maintenance services in order to meet growing construction industry demand. Heavy machinery that requires regular maintenance and repair includes excavators, dozers, gearboxes, industrial vehicles, mining equipment, and construction equipment. Increasing demand for industrial machinery across the construction and mining sectors is a key factor contributing to the growing North America heavy machinery maintenance and repair market size. For instance, according to the US Bureau of Economic Analysis data, industrial manufacturing in the US was reported to be ~US$ 2.52 trillion in 2022, which is growing with rapid industrialization. Increasing construction activities and growing government funding for infrastructure development projects in North America are driving the demand for heavy machinery. These machineries require repair and maintenance services frequently. According to the Canada Construction Association report in 2022, the construction industry in Canada contributes approximately US$ 151 billion in revenue to its economy annually, which is growing at a rapid pace with government support and funding for development. Such growth in the construction sector, along with high demand for industrial machinery, is driving the North America heavy machinery maintenance and repair market growth.

The North America heavy machinery maintenance and repair market is segmented on the basis of component, application, and geography. On the basis of component, the market is segmented into gearboxes and engines, electric motors, electronic systems, hydraulic units, propeller shafts, and others. Based on component, gearboxes and engines is estimated to hold a significant North America heavy machinery maintenance and repair market share by 2030. Based on application, the market is segmented into aluminum and steel, hydropower plants, construction, mining, marine, agriculture and forest, pulp and paper, and others. Further, the gearbox and engine are the major components required in heavy machinery and industrial vehicles. The gearbox requires frequent maintenance to operate smoothly. Increasing equipment rental business across the US and Canada is the major driving factor for the gearbox and engine segment in the market. The rapid growth of revenue post-pandemic in the equipment rental industry is expected to create ample opportunity for the market growth in the coming years. The engine is subjected to several issues, such as overheating, insufficient coolant, malfunctioning radiator, and faulty thermostat. These issues are resolved with regular maintenance and repair services.

According to the American Rental Association (ARA), the equipment rental revenue generated in North America across the construction & industrial machinery industry increased by 3.4% in 2023. The overall equipment rental business in North America was valued at ~US$ 57.7 billion in 2023, which grew by 11% compared to 2022. Further, the equipment rental business in North America is expected to reach US$ 63.4 billion by 2026. Such expansion of the heavy machinery equipment rental business is the major driving factor for the gearbox and engine segment growth. In August 2023, ITR Economics, US Construction Machinery sale recorded a sale of US$ 47.4 billion, an increase of 13.2% compared to 2022. The construction equipment sales in North America reached 318,000 machines in 2022. Such growth in the sales of construction equipment and industrial machinery has created massive demand for gearboxes and engines. Electrical power motors are used in heavy equipment and machinery, such as cranes, excavators, and tractors, that allow for precise load handling and transportation. Electric motors are used in heavy machinery and equipment. Increasing sales and production of these heavy machinery and equipment is expected to create ample opportunity for the North America heavy machinery repair and maintenance services market growth during the forecast period. In 2021, the production of wheel loaders and dozers used in the mining industry reached 2,374 units; the figure increased by 19% compared to 2020. The production of large excavators in North America that are used in the mining industry reached ~993 units in 2021, which increased from 923 units compared to 2020. Electric motors are widely used in industrial vehicles such as forklifts, dozers, wheel loaders, and excavators. Electric motors are the essential component in heavy machinery that is used in construction, agriculture, mining, and various other industries. To ensure the optimal performance of these vehicles, regular maintenance and repairs are crucial. Increasing sales and production of construction equipment; earthmoving equipment; and industrial vehicles such as dozers, excavators, and forklifts are driving the electric motor segment in the North America heavy machinery maintenance and repair market. Earthmoving equipment sales in 2021 increased by 11% compared to 2020, according to the American Rental Association.

United Rentals Inc., Hydrauliques Continental Inc., Wajax Corp., PSI Repair Service Inc., Halton Hydraulic Ltd., Select Fluid Power Ltd., RHK Hydraulic Cylinder Services Inc., Gir Del Hydraulic Services, Centre Hydraulique GMB Inc., and Simplex Location d'outils Inc. are among the key players profiled in the North America heavy machinery maintenance and repair market report. Inorganic and organic strategies are highly adopted by key companies in the market. The market initiative is a strategy adopted by companies to expand their footprint across the world and to meet the growing customer demand. Companies operating in the North America heavy machinery maintenance and repair market mainly focus on product and service enhancements by integrating advanced features and technologies into their offerings.

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