The UAE construction equipment market is expected to grow at a CAGR of 6.20% from 2022-2029, says a new report by Research and Markets.
The firm said the growth in the UAE market will be driven by government investment in public infrastructure and projects such as the development of Al Quoz Creative Zone, a master plan to create a cultural and creative destination in Dubai.
The master plan is designed to include various infrastructures, public services, and commercial spaces. The project is expected to be completed over the next four years, i.e., 2026. The zone will also provide residential facilities for over 8,000 residents and attract 33,000 daily visitors. The project will be completed in three phases, noted Research and Markets.
Elsewhere, the Al Jurf project will be constructed on a 3.7 km area on the Gulf Coast. The project will be constructed in two phases; the first phase will include 293 villas and stretch 1.6 km long along the coast. Furthermore, the 2nd phase will include 98 additional villas with an approximate value of $4.08 billion.
Around the UAE capital, the Louvre Abu Dhabi’s residential project launched in Q1 2022 and will include exquisite studios and 1-3-bedroom apartments. It will also include an infinity pool, well-being Centre, yoga and pilates studio, meditations lawns, and a museum. The project is expected to be completed by 2025.
In 2021, the Crown Prince of Ajman announced a USD 27.77 million package of infrastructure development projects in the northern emirate. Therefore, the Traffic and Transportation Plan 2030 will accelerate new public-private partnership projects in the sector over the forecast period.
Looking at equipment demand, Research and Markets note s the the material-handling segment of construction equipment accounted for the largest UAE construction equipment market share in 2022. In the material handling segment, cranes accounted for the largest share in 2022.
The excavator is used for digging, lifting, earthmoving & drilling. In 2022, the UAE government’s increased investments in residential buildings, roads, and railways are expected to drive the demand for excavators during the forecast period.
“A few upcoming road construction projects in 2022, like the Etihad Rail construction, are underway and scheduled to complete by mid-2024 and are expected to boost the demand for earthmoving construction machinery in the UAE construction equipment market. Other construction projects, such as the upgradation of the Dubai Transport Link, aim to boost road safety, increase vehicle capacity and cut travel times by more than half,” says the report.
“In 2021, the Crown Prince of Ajman announced a USD 27.77 million package of infrastructure development projects in the northern emirate. Therefore, the Traffic and Transportation Plan 2030 will accelerate new public-private partnership projects in the sector over the forecast period.”