Market Forecast By Types(Cranes (Mobile Cranes, Crawler Cranes, Tower Cranes), Earthmoving Equipment(Loaders, Excavators, Motor Grader)), Aerial Work Equipment(Articulated Boom Lifts, Telescopic Boom Lifts, Scissor Lifts), Material Handling Equipment(Telescopic Handlers, Forklifts), Road Construction Equipment(Pavers, Road Rollers), Dump Trucks, Construction Tractor And Bulldozer), By Applications(Construction, Oil & Gas, Mining)And Competitive Landscape
Product Code: ETC001645 | Publication Date: Dec 2023 | Updated Date: Sep 2025 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 70 | No. of Figures: 35 | No. of Tables: 5 | |
According to 6Wresearch internal database and industry insights, the Japan Construction Equipment Market is projected to grow at a compound annual growth rate (CAGR) of 4.2% during the forecast period (2025-2031).
Report Name | Japan Construction Equipment Market |
Forecast Period | 2025-2031 |
CAGR | 4.2% |
Growing Sector | Construction & Infrastructure |
Japan Construction Equipment Market report thoroughly covers the market by types and applications. The market report provides an unbiased and detailed analysis of ongoing market trends, opportunities/high growth areas, and market drivers, which would help stakeholders to devise and align their market strategies according to the current and future market dynamics.
Japan Construction Equipment Market is expected to expand steadily during the forecast period on account of rising public and private infrastructure investments, urban regeneration projects, and a growing need to modernize aging civil structures. The growth is further supported by government-led initiatives to upgrade transport corridors, port facilities, and urban utilities, together with private-sector investments in commercial complexes and housing redevelopment. Increasing focus on productivity and labor efficiency in construction sites is accelerating the adoption of advanced earthmoving and material-handling equipment.
Below mentioned are some prominent drivers and their influence to the market dynamics:
Driver | Primary Segments Affected | Why it matters (evidence) |
Public Infrastructure Renewal | 300–1000 kVA equivalent capacity equipment; Road Construction Equipment, Earthmoving | Large-scale projects to upgrade highways, bridges, and ports increase demand for pavers, rollers, and heavy earthmoving machines. |
Urban Redevelopment & Smart Cities | 60–375 kVA equivalent; Aerial Work Equipment, Material Handling | Large scale construction and redevelopment projects accelerates demand for tower cranes, boom lifts, and compact handlers. |
Aging Housing Stock Replacement | 5–75 kVA equivalent; Earthmoving, Dump Trucks | Renovation of older buildings arouse demand for stock replacement such as loaders, excavators, and dump trucks. |
Labor Shortages & Productivity Needs | All mid-to-small equipment ranges; Aerial Work Equipment, Telehandlers | Contractors capitalize in mechanization to offset labor shortfalls and intensifies efficiency. |
Environmental & Emission Regulations | Electric/Hybrid models; All types | Stringent noise and emissions targets boost adoption of low-emission and battery-electric construction equipment. |
Japan Construction Equipment Market size is projected to grow at the CAGR of 4.2% during the forecast period of 2025-2031. The growth of construction and infrastructure development projects such as expressway upgrades, port modernizations, and urban redevelopment schemes is a key driver of Japan Construction Equipment Market Growth. Expansion of renewable energy projects—especially offshore wind and associated port infrastructure—also demands specialized heavy lifting and transport equipment. In addition, steady investments in commercial real estate, logistics hubs, and factory modernization require material handling equipment and compact earthmovers.
Below mentioned are some major restraints and their influence to the market dynamics:
Restraint | Primary Segments Affected | What this means (evidence) |
High Capital Expenditure | Large-capacity; Earthmoving & Cranes | Large upfront costs for heavy equipment slow down purchases by smaller contractors, increasing reliance on rentals. |
Aging Workforce & Skills Gap | All segments | There is a lack of skilled personnel to operate advance equipment, limiting effective utilization of advanced equipment and delays tech adoption. |
Tight Emission & Noise Regulation | Urban-use equipment; Aerial & Material Handling | Firm local ordinances require investment in low-emission models, increasing product costs. |
Volatile Raw Material Prices | Manufacturers & OEMs | Constant fluctuations in steel and component costs influence equipment pricing. |
On the challenges side, the Japan Construction Equipment Industry confronts key obstacles. One of the major challenges is high capital intensity of heavy construction machinery which makes ownership costly for small and medium-sized contractors. This leads to increased dependence on rental models and reduces direct equipment sales growth.
Additionally, an obsolete workforce and lack of skilled machine operators hinder the full productivity potential of mechanization. To deal with this, companies must invest in training which raises operational costs. Price volatility in raw materials such as steel and semiconductor components for modern telematics systems can increase equipment prices and compress manufacturer margins.
Some of emerging trends shaping the market landscape are:
Some of the key investment opportunities in the Japan Construction Equipment Market are:
Some leading players operating in the market include:
Company Name | Komatsu Ltd. |
Established Year | 1921 |
Headquarters | Tokyo, Japan |
Official Website | Click Here |
Komatsu is a global leader in construction and mining equipment, offering a wide portfolio from compact excavators to large hydraulic excavators and integrated fleet-management solutions.
Company Name | Hitachi Construction Machinery Co., Ltd. |
Established Year | 1970 |
Headquarters | Tokyo, Japan |
Official Website | Click Here |
Hitachi Construction Machinery supplies excavators, wheel loaders and material-handling equipment, and has been advancing automation and telematics for productivity gains.
Company Name | Kobelco Construction Machinery Co., Ltd. (Kobelco) |
Established Year | 1999 |
Headquarters | Kobe / Tokyo, Japan |
Official Website | Click Here |
Kobelco focuses on hydraulic excavators and is noted for fuel-efficient excavator designs and compact models tailored for urban work.
Company Name | Sumitomo Heavy Industries, Ltd. |
Established Year | origins from 1888 |
Headquarters | Tokyo, Japan |
Official Website | Click Here |
Sumitomo offers a diverse product range including construction machines, compactors, and material handling systems with strong maintenance and aftermarket support.
Company Name | Mitsubishi Heavy Industries, Ltd. |
Established Year | 1950 |
Headquarters | Tokyo, Japan |
Official Website | Click Here |
MHI participates in heavy infrastructure machinery, offering integrated solutions and leveraging system-level engineering for large civil projects.
According to Japanese Government Data, the policy framework of Japan supports infrastructure modernization, stringent environmental standards, and technological modernization of the construction sector. Examples of government initiatives include: public investment programs to renovate aging bridges and expressways; urban redevelopment incentives to revitalize city centers; subsidies and tax incentives for adopting low-emission and electric construction machinery; pilot programs for automated construction sites and use of drones and remote monitoring in civil works; and workforce upskilling programs led by public–private partnerships to reduce skills gaps.
In the future years, Japan Construction Equipment Market is expected to grow moderately owing to a combination of public infrastructure renewal, urban redevelopment projects, and steady private construction activity.
The acceleration of electrification and hybrid machinery, combined with digital fleet management and telematics, will reshape procurement preferences—buyers will increasingly value total cost of ownership, operational data, and low-emission credentials over purchase price alone.
Rental and subscription models are likely to expand, allowing contractors flexible access to specialized machines. Furthermore, opportunities tied to offshore wind and port upgrades will demand heavy-lift and transport solutions, creating pockets of high-value demand.
According to Parth, Senior Research Analyst, 6Wresearch, Earthmoving Equipment is expected to dominate the Japan Construction Equipment Market Share during the forecast period. This category includes machinery such as excavators, loaders, and bulldozers, which are essential for tasks like digging, lifting, and transporting materials. The demand for these machines is driven by large-scale construction and infrastructure projects.
The Commercial sector is anticipated to lead in terms of market share. This includes applications in retail, hospitality, and office buildings. The growth in urbanization and commercial development contributes significantly to the demand for construction equipment in this sector.
The report provides a detailed analysis of the following market segments:
1 Executive Summary |
2 Introduction |
2.1 Key Highlights of the Report |
2.2 Report Description |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3 Japan Construction Equipment Market Overview |
3.1 Japan Country Macro Economic Indicators |
3.2 Japan Construction Equipment Market Revenues & Volume, 2021&2031F |
3.3 Japan Construction Equipment Market - Industry Life Cycle |
3.4 Japan Construction Equipment Market - Porter's Five Forces |
3.5 Japan Construction Equipment Market Revenues & Volume Share, By Type, 2021&2031F |
3.6 Japan Construction Equipment Market Revenues & Volume Share, By Application 2021&2031F |
4 Japan Construction Equipment Market Dynamics |
4.1 Impact Analysis |
4.2 Market Drivers |
4.2.1 Increasing government investments in infrastructure projects in Japan |
4.2.2 Rising demand for technologically advanced and efficient construction equipment |
4.2.3 Growth in urbanization leading to construction activities |
4.3 Market Restraints |
4.3.1 High initial cost of construction equipment |
4.3.2 Stringent regulations and compliance requirements |
4.3.3 Economic downturn impacting construction projects |
5 Japan Construction Equipment Market Trends |
6. Japan Construction Equipment Market , By Type |
6.1 Japan Construction Equipment Market Revenues & Volume, By Mobile Cranes 2021-2031F |
6.2 Japan Construction Equipment Market Revenues & Volume, By Construction Tractor and Bulldozer, 2021-2031F |
6.3 Japan Construction Equipment Market Revenues & Volume, By Earthmoving Equipment, 2021-2031F |
6.3 Japan Construction Equipment Market Revenues & Volume, By Aerial Work Equipment, 2021-2031F |
6.3 Japan Construction Equipment Market Revenues & Volume, By Material Handling Equipment, 2021-2031F |
6.3 Japan Construction Equipment Market Revenues & Volume, By Dump Trucks, 2021-2031F |
6.3 Japan Construction Equipment Market Revenues & Volume, By Road Construction Equipment, 2021-2031F |
7 Japan Construction Equipment Market , By Application |
7.1 Japan Construction Equipment Market Revenues & Volume, By Corporate Enterprise, 2021-2031F |
7.2 Japan Construction Equipment Market Revenues & Volume, By Oil and Gas , 2021-2031F |
7.3 Japan Construction Equipment Market Revenues & Volume, By Mining, 2021-2031F |
7.3 Japan Construction Equipment Market Revenues & Volume, By Others 2021-2031F |
8 Japan Construction Equipment Market Import-Export Trade Statistics |
8.1 Japan Construction Equipment Market Export to Major Countries |
8.2 Japan Construction Equipment Market Imports from Major Countries |
9 Japan Construction Equipment Market Key Performance Indicators |
9.1 Rental utilization rate of construction equipment |
9.2 Average age of construction equipment fleet in Japan |
9.3 Number of construction permits issued |
9.4 Construction equipment rental rates |
9.5 Average duration of construction projects in Japan |
10 Japan Construction Equipment Market - Opportunity Assessment |
10.1 Japan Construction Equipment Market Opportunity Assessment, By Type, 2031 |
10.2 Japan Construction Equipment Market Opportunity Assessment, By Application, 2031 |
11 Japan Construction Equipment Market - Competitive Landscape |
11.1 Japan Construction Equipment Market Revenue Share, By Companies, 2024 |
11.2 Japan Construction Equipment Market Competitive Benchmarking, By Operating and Technical Parameters |
12 Company Profiles |
13 Recommendations |
14 Disclaimer |
Market Forecast By Types(Cranes (Mobile Cranes, Crawler Cranes, Tower Cranes), Earthmoving Equipment(Loaders, Excavators, Motor Grader)), Aerial Work Equipment(Articulated Boom Lifts, Telescopic Boom Lifts, Scissor Lifts), Material Handling Equipment(Telescopic Handlers, Forklifts), Road Construction Equipment(Pavers, Road Rollers), Dump Trucks, Construction Tractor And Bulldozer), By Applications(Construction, Oil & Gas, Mining)And Competitive Landscape
Product Code: ETC001645 | Publication Date: Mar 2020 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 70 | No. of Figures: 35 | No. of Tables: 5 |
Japan construction equipment market growth is driven by the growing construction industry and developing transformation of infrastructure activities. The expansion of commercial and private infrastructure such as road network expansion plans, smart city, highway, railway, airport, and other public facilities are the major factors increasing the demand for the construction equipment market in Japan. Additionally, the manufacturers in Japan are much more active than many other countries in upgrading the technology and machines with ICT for the expansion of the construction industry.
According to 6wresearch, Japan Construction Equipment Market is anticipated to grow during 2020-2026. Rising revenue, rapid urbanization, and increasing government expenditure for infrastructural projects are the key factors rising the Japan construction equipment market. Japan is the second-largest developed economy in the world thus, the economic growth and increasing investment in industrial infrastructure are boosting the growth of the construction equipment market in Japan. Japan is aiming to expand the construction equipment market by exporting heavy construction equipment to India.
On the basis of types, the earthmoving segment is expected to hold the Japan construction equipment market due to an increase in demand for excavators driven by rental and general sectors. Moreover, renting and leasing of heavy construction equipment is beneficial to construction companies due to its high cost and effective work which is expected to grow the demand for construction equipment in Japan during the forecast period.
The Japan construction equipment market report comprehensively covers the market by types and applications. The Japan construction equipment market outlook report provides an unbiased and detailed analysis of the on-going Japan construction equipment market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to device and align their market strategies according to the current and future market dynamics.
Japan construction equipment market is projected to register sound revenues in the coming years backed by the progressive growth of mining and oil & gas industries. Moreover, a rise in the need for time efficiency in performing the construction tasks by using advanced construction equipment which is capable enough for fast work during construction would generate lucrative opportunities for construction equipment in the coming years. Additionally, rising commercialization would be the key factor in driving sales revenues on the back of the rise in the need for petroleum serving various purposes such as the manufacture of soap, detergent, and paints and would boost the growth of Japan's construction equipment market in the coming years.
Key Highlights of the Report:
Markets Covered
The Japan Construction Equipment Market report provides a detailed analysis of the following market segments: