Hydraulic Equipment Market Growing at 5.25% CAGR Driven by Growth in Construction Industry to 2020
Author:WINTIN Browsing times:2769 Date:2016-06-27

The global hydraulic equipment market growthis primarily driven by growth in the construction industry and rise in variousconstruction activities in developing countries has led to high demand forhydraulic equipment. Various construction activities such as the constructionof roads, railways, housing, infrastructure, and airports have contributed tothe growing demand for earthmoving equipment such as excavators, loaders,bulldozers, and cranes. All these equipment use hydraulic equipment, therebyfostering the growth of the global hydraulic equipment market during theforecast period.

The analysts forecast global hydraulicequipment market to grow at a CAGR of 5.25% during the period 2016-2020.A keytrend which will have a positive impact on the hydraulic equipment market isthe rising demand for fire-resistant hydraulic fluids. Fire-resistant hydraulicfluids are being increasingly used in hydraulic equipment as they offer manybenefits and inherent safety characteristics. Fire-resistant hydraulic fluidswere formerly developed to suit high safety requirements of industries such assteel production and underground mining. In the steel industry, fire-resistanthydraulic fluids are required to provide safe working conditions for hydraulicapplications in coke ovens, ladle furnace, slide gate systems, electric arcfurnace, and continuous caster. However, in the past few years, many otherindustries such as construction, aluminum, power, foundry, automobile,offshore, paper manufacturing, and other process industries are utilizingfire-resistant hydraulic fluids for their technical and commercial benefits.Hydraulic equipment operating under extreme heat may suffer from the risk ofoil leakage, resulting in a high fire risk. Hence, vendors are now more focusedon developing equipment with fire-resistant fluids to reduce the potential riskof fire.

The global hydraulic equipment market ishighly fragmented with the presence of many vendors worldwide. The market ischaracterized by the presence of well-diversified international, regional, andlocal vendors. Several local and regional vendors provide hydraulic equipmentsuch as pumps, cylinders, and valves with a high level of customization at acomparatively lower price than international vendors. Although new vendors areentering the market, they find it difficult to compete with international vendorsin terms of quality, features, functionalities, and services. The competitiveenvironment in hydraulic equipment market is expected to intensify with thegrowth of product extensions, technological innovations, and M&A. It isexpected that during the forecast period, international players will growinorganically by acquiring regional or local players