Digging deep: Industry operators are expected to target export markets for future growth

Operators in the Mining, Quarrying and Construction Machinery Manufacturing industry produce a range of heavy machinery and large-scale equipment, from excavators to materials processing machines. The industry has a high level of globalisation, meaning that international trade and global market conditions significantly affect the industry's performance. Over the five years through 2018-19, industry revenue is forecast to decline at a compound annual rate of 5.8% as geopolitical tension in emerging export markets, import competition and erratic oil commodity prices have decreased demand for UK-produced machinery. Moreover, the dwindling global mining industry has consistently weighed on the market for underground mining equipment.In 2018-19, IBISWorld expects revenue to grow by...read more.

Industry Statistics & Market Size
Revenue
£3.8bn
Annual Growth 14-19
-5.8%
Forecast Growth 19-24
Profit
Employment
16,089
Businesses
241

Industry Threats & Opportunities

  • Strong export demand as the pound remains weak is expected to support revenue growth
  • Recent recovery of oil price is driving an increase in demand from oil extraction companies
  • Industry operators are expected to target export markets to capitalise on the low value of the pound
  • Industry Report - Industry Investment Chapter

    The level of capital intensity is determined by comparing the human and capital equipment factors of production, using wages and depreciation costs as proxies. Comparatively high depreciation costs indicate substantial investment in depreciable assets, resulting in high capital intensity. Conversely, comparatively high wage costs indicate high labour intensity. IBISWorld estimates that operators in the Mining, Quarrying and Construction Machinery Manufacturing industry spend £7.56 on labour for every £1.00 they invest in capital. While this indicates that the industry is estimated to have a moderate level of capital intensity, the manufacture of industry products is carried out through a fully automated assembly line...purchase to read more.

    Additional Insights for the Mining, Quarrying & Construction Machinery Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Mining, Quarrying & Construction Machinery Manufacturing Industry are

  • Economies of scale
  • Establishment of brand names
  • Establishment of export markets
  • IBISWorld analysts also discuss how external factors such as Total value of construction and Business capital expenditure in the Mining, Quarrying & Construction Machinery Manufacturing industry impact industry performance..

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    What's in this report

    What is the Mining, Quarrying & Construction Machinery Manufacturing Industry?

    Firms in this industry manufacture machinery that is used in construction, mining and quarrying.

    Industry Products
  • Excavators and shovels
  • Drilling rigs
  • Other earthmoving equipment
  • Underground mining machinery
  • Loaders
  • Mineral processing machinery
  • Industry Activities
  • Mining machinery
  • Quarrying machinery
  • Oil and gas equipment
  • Construction machinery
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total value of construction
  • Business capital expenditure
  • Real effective exchange rate
  • Demand from hard coal mining
  • Public concern over environmental issues
  • World price of crude oil

  • Current Performance
  • International trade
  • Crude commodities
  • Declining mining
  • Chart: Revenue Growth

  • Industry Outlook
  • Construction commitments
  • Trade flow
  • OPEC output
  • Table: Mining, Quarrying & Construction Machinery Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Mining, Quarrying & Construction Machinery Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Hard Coal Mining
  • Commercial Building Construction
  • Residential Building Construction

  • Key Selling Industries
  • Compressor Manufacturing
  • Metal Forging, Pressing & Stamping

  • Products & Services
  • Excavators and shovels
  • Drilling rigs
  • Other earthmoving equipment
  • Underground mining machinery
  • Loaders
  • Mineral processing machinery
  • Chart: Mining, Quarrying & Construction Machinery Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Non-residential construction
  • Oil and gas extraction and exploration
  • Residential construction
  • Mining and quarrying
  • Chart: Major Market Segmentation for the Mining, Quarrying & Construction Machinery Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciationOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Mining, Quarrying & Construction Machinery Manufacturing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Mining, Quarrying & Construction Machinery Manufacturing Industry

  • Industry Globalization
    Caterpillar (UK) Ltd, JCB Service, Komatsu Ltd,
  • Table: Caterpillar (UK) Ltd - financial performance
  • Table: JCB Service - financial performance
  • Table: Komatsu Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Mining, Quarrying & Construction Machinery Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Mining, Quarrying & Construction Machinery Manufacturing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Backhoe
  • A digging bucket on the end of a two-part articulated arm. They are usually mounted on the back of a loader or tractor.
  • Continuous Miner
  • A machine with a large rotating steel drum and teeth, used mainly in coal mining.
  • Drilling Rig
  • Machinery that creates holes or shafts in the ground, used in the exploration for and extraction of minerals, oil and natural gas.
  • Longwall Mining
  • A form of underground coal mining where a long wall of coal is mined in a single slice.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Mining, Quarrying & Construction Machinery Manufacturing market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Mining, Quarrying & Construction Machinery Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Mining, Quarrying & Construction Machinery Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Mining, Quarrying & Construction Machinery Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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