Global mining equipment market revenue to reach $95.14 billion by 2022

As per a recent study, the Global Mining Equipment Market is expected to reach USD 95.14 billion by 2022. The mining industry has faced an economic slowdown over the last two years due to reduced investments and weak demand from major geographies including North America & Europe which has significantly hampered the mining equipment market.

Leading manufacturers including Caterpillar, Sandvik and Atlas Copco have reported substantial drop in their revenues as a consequence of the mining industry's economic slump. The slowdown is primarily concentrated around new projects and expansion of existing projects. Current operations continue to perform well, with companies striving constantly to improve productivity.

The mining industry is expected to start its recovery post 2017, as mining equipment manufacturers are expected to increase their capital spending, triggered by the opening of new sites particularly in the untapped regions of Africa and Latin America.

Key findings:

· Surface mining equipment contributed to over 30% of the overall market revenue in 2014 and is expected to continue dominating the market over the forecast period on account of growing demand for bauxite and iron ore. Underground mining machinery inclusive of continuous machines, long wall machines, hydraulic shovels, and cable shovels, also accounted for significant market share in 2014.

· Metal mining is expected to remain the dominant application market over the forecast period; the activity requires considerable investment as a result of high degree of complexity. Coal mining is poised for high growth due to growing demand for coal in electricity generation and heating.

· Untapped regions of Africa such as Zambia and Congo having considerable metal mines and Latin American countries such as Chile, Brazil, and Peru are expected to trigger recovery. China is anticipated to dominate the market throughout the forecast period. Europe and North America are expected to lose share over the next few years, due to barriers such as government restrictions on coal fired power plants.

· Key market participants include multinational companies such as Sandvik, Atlas Copco, Caterpillar, Hitachi Construction Machinery, and Komatsu.