Revenue in the construction equipment industry is expected to reach $57 billion by 2020, according to the five-year projection recently released by the American Rental Association, with the rental of construction equipment expected to reach $40 billion in the next five years.
The most recent forecasts project that the rental of construction equipment should have a moderately strong growth rate of 4.5 percent for 2016, reaching $33.1 billion in revenue. That’s more than double the rate of GDP growth, which, according to experts, suggests that the construction rental industry continues to be strong.
The projection is a revision of numbers released by the organization in April, reflecting updated economic data. The new projections are a bit more conservative, as a result of slightly weaker economic growth and uncertainty surrounding the outcome of elections this November. Still, while commercial construction and development in the energy sector appear to be slowing, gains in consumer spending and continued residential construction growth suggest continued opportunities in the construction sector.
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