Despite facing headwinds, the industry demonstrated resilience with relatively stable sales on the European market, albeit with notable differences across sub-segments and regions.
"In the face of global economic challenges, I remain cautiously optimistic about the possibility of a smooth landing for the economy in 2024-2025," says CECE president Jose Antonio Nieto.
"While the Eurozone has experienced setbacks, including the impact of the war in Ukraine and inflationary pressures, I believe that prudent decision-making and concerted efforts can mitigate risks. By focusing on stimulating investment and fostering innovation, Europe can navigate through these challenges and pave the way for sustainable growth and prosperity.”
Overall, sales of construction equipment in Europe declined by 10% in 2023, following a period of very high absolute levels. The decline was primarily attributed to a downturn in road machinery, particularly light compaction equipment, which saw sales fall by 21%. Earthmoving equipment and concrete equipment maintained stable performances, with minimal 1% growth in sales. With growth in sales of 16% in Europe in 2023, tower cranes were the strongest performing of the construction equipment sub-sectors. However, this is solely attributable to the one-off effect in Turkey, where reconstruction efforts after the earthquake pushed tower cranes sales significantly. If Turkey is excluded, sales of tower cranes in Europe were down by 27% in 2023
Outside of Europe, growth in key export markets like North America and the Middle East helped European manufacturers improve their overall business performances despite the challenging market conditions in 2023.
Looking ahead, CECE says the outlook for 2024 remains uncertain, with cautious optimism tempered by ongoing challenges. The European market is expected to face further declines, particularly in the building construction equipment segments, amidst economic uncertainty and geopolitical threats. However, opportunities in global export markets may provide some respite for European equipment manufacturers, with North America remaining a key focus.
