July 28, 2020
The construction equipment industry in Brazil seems to be definitively overcoming the economic crisis that left the country in a serious situation between 2014 and 2019. According to data from the Brazilian Association of the Machinery and Equipment Industry (Abimaq), between January and May of this year the sector had 35% growth in sales.
In the period, about 8,000 machines were sold in Brazil, including Excavators, backhoes, loaders, cranes, lifting platforms and other yellow line models.
The expectation for the year is positive, that the market will reach the level of 20,000 machines, which if it happens will represent a growth of 15% compared to 2019.
According to executives from several equipment brands, the consumption profile of the machines is highly concentrated in the Brazilian agribusiness. However, some infrastructure construction continued during the pandemic, with public investments at the federal level and in municipalities.
Some international manufacturers with a presence in the country, meanwhile, claim that the utilization of their installed capacity is around 25%, a percentage that is considered low in the industrial sector. On the other hand, the space to grow without inflationary pressure is very wide.
Executives point out the trend towards the recomposition of fleets as an important element for this recovery, in addition to the investment of the agricultural sector. It is also expected that in 2021 the sector will grow with the promised infrastructure concessions.
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