Summary

The Mexican economy is developing in a mixed manner, the Mexican market for construction equipment is strong, and the market for renting out equipment is growing in Mexico as a result of the growth of the construction industry. As contractors and dealers choose to rent instead of buy to reduce the size of their fleets and the complexity of their organizations, which could otherwise have an impact on operations like asset disposal, logistics, maintenance, and procurement, the number of people using rental services is significantly growing. The need for rental services is growing as infrastructure projects are undertaken, which is fostering the expansion of the equipment rental market in Mexico.

According to the research report "Mexico Construction Equipment Rental Market Overview, 2028," published by Bonafide Research, the Mexico Construction Equipment Rental market is expected to add USD 0.69 Billion by 2028. The Mexico market is slowly increasing for construction rental equipment. Trucks, earthmovers, and equipment used in drilling operations are among the heavy equipment that oil and gas producers lease or hire. The need for industry services increases as a sector grows. Oil and gas extraction demand is anticipated to rise in 2022, offering this business a possible opportunity. There are many types of construction equipment, like earthmoving, material handling, concrete, and road construction.

In accordance with the national infrastructure plan 2020–2024, the Mexican government allocated USD 42 billion in 2020. The construction of roads, highways, and airports was the main objective of the infrastructure plan. The government intends to invest 350 billion USD in infrastructure, railroads, and health in 2022. A significant portion of the funding will go to the government's planned Tren Maya Railways projects in southern Mexico.Other significant transportation development projects, including the Tultepec-Santiago Tolman Highway (USD 434 million), Inter Serrana Highway (USD 951), South Road of the State of Mexico (USD 770), and Naucalpan-Ecatepec Highway (USD 10 billion), are scheduled to be completed in 2022. From there, the construction equipment rental market will grow in the near future. There are many suppliers of construction equipment for rent in Mexico.

Due to urbanization, compact equipment, machines with greater capacity, and models with longer reaches are in high demand. Prices for raw materials are rising, but supply chain issues still exist. Manufacturers and everyone else who is a part of the rental industry ecosystem are facing exceptional challenges. Getting the tools and essential components on time is still a struggle. Despite these issues, equipment rental businesses nonetheless make an effort to stay current with innovations that will assist their business models. The increase in residential development surely contributes to the post-pandemic environment's quick recovery in demand for aerial and material handling equipment. Renting construction equipment has several advantages because the building business is cyclical and the economy is uncertain. More and more contractors, building firms, and businesses in other industries are considering renting. According to the equipment rental portal, builders and contractors are renting more equipment than they are buying it. Many business leaders and economists anticipate a recession, which would encourage companies to rent equipment rather than buy or lease it. Construction companies are leery about costs like these. Due to the unpredictable state of the economy and the high cost of equipment, businesses must get the most out of their purchases. This makes renting equipment a sensible choice, which is fostering the expansion of the rental industry for construction equipment.

The major participants in the equipment business want to increase machine intelligence by integrating their own technological systems. Locating and monitoring the performance of construction equipment and vehicles is made simple by telematics systems. The GPS location, the amount of fuel consumed, and the duration of idle time are among the data transmitted through the system. However, setting up this system is expensive, making it unaffordable for many small contractors and builders. The equipment rental firm, which eliminated the overall cost and provided rental possibilities, has found a solution to the issue. As a result, the market for construction equipment is expanding even more in the country due to the aforementioned considerations.

COVID-19 impact:
The Mexican construction equipment rental market is not that much affected by COVID 19. In the year 2020, it will have little impact. The construction market fell in 2020 due to the lockdown period and rose again in 2021, now that the market is back on track.

Considered in this report
• Geography: Mexico
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report
• Mexico Construction Rental market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By equipment Type:
• Earthmoving
• Material handling
• Concrete and road construction

By Application Type:
• Residential
• Non residential
• Others

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Construction Rental industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.