By KERRY SMITH, EDITOR, ST. LOUIS CONSTRUCTION NEWS AND REVIEW MAGAZINE
More than 80 percent of Association of Equipment Manufacturers members predict rising demand for construction and agriculture equipment during 2022.
According to AEM Director of Market Intelligence Benjamin Duyck, a recent membership survey’s findings indicate that 44 percent of those asked believe construction equipment demand in 2022 will prove above normal, while 65 percent of those surveyed believe the demand for ag-related equipment will be above normal.
Although demand continues to be unusually strong, Duyck says manufacturers’ prolonged struggles in filling positions – combined with raw materials price increased spurred by inflation – are hampering strategies to meet overall equipment demand. Supply chain kinks continue to impact satisfying the increased industry demand.
“The American Jobs Plan will give a big boost to spending on infrastructure,” Duyck said. “The biggest impacts will be in 2022 and 2023.”
Demand for every equipment category remains green, according to Duyck.
On a global level, Brazil saw the most growth in terms of mining and construction activity in 2021, followed by China, Japan, the United Kingdom, India and the U.S.
Duyck added that 7.7 percent growth in U.S.-based mining and construction is projected for 2022, followed by 5.4 percent in 2023. Globally in 2022, India is expected to realize a 12.4 percent increase in mining and construction activity, followed by a projected 9.3 percent for the United Kingdom.