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The Argentina construction equipment market is expected to grow significantly due to increased funds by Inter-American Development Bank and World Bank for new roads, rail, ports, and utilities. Argentina’s economy declined for the third year in a row in , this time due to the impact of the COVID outbreak, which severely impacted private consumption, investment, and exports.
The government implemented increased health spending, financial support for workers and vulnerable groups, price controls for food and medical supplies, and credit guarantees for bank lending to SMEs to produce foods and essential supplies in to counteract the economic crisis caused by the COVID pandemic. Argentina’s economy, the second-largest in South America , is likely to continue to develop, though at a slower pace. Due to planned investments in the mining and manufacturing sectors and ongoing infrastructure projects, Argentina’s demand for construction equipment is expected to grow.
Multimodal transport infrastructure and regional development spur Argentina’s demand for construction equipment. This plan includes 2, km of new highways, 2, km of safe roads, 13, km of rehabilitated roads, and 2, km of new paving, including new engineering projects. These long-term plans to improve the logistics and public transport will add to the Argentina construction equipment market growth.
Furthermore, some e-commerce companies are considering expanding their operations in the country. In addition, MercadoLibre intends to build a new distribution center in Argentina to expand its logistical capacity, which will raise the demand for forklifts. The Argentina forklift market benefits from the rise of Argentina’s e-commerce sector. Increased trade at seaports is fueling the demand for forklift and telescopic handlers. Forklifts and telescopic handlers are used for loading and unloading and material handling at seaports.
Due to the increased cargo flow at the ports, the need for forklifts has increased. Hence, forklifts and telescopic handlers constitute the largest Argentina construction equipment market share. Argentina’s National Public Investment Plan attracts investors from other countries; for instance, Argentina’s government officials and business leaders have attracted Chinese investment and finance into renewables and different types of energy.
These investments are supporting the growth in demand for construction equipment in Argentina. For instance, China’s investment in mining and construction has triggered the need for hydraulic excavators. These investments from other countries also support the demand for all types of construction equipment and boost Argentina’s industrial production over the forecast period. High inflation rate to make import of construction equipment in Argentina costlier. Argentina’s construction equipment market is dependent on imports rather than manufacturing them in the country.
Inflation in Argentina worsened in , due to which Argentine Peso lost its value against the US dollar and led to supply chain disruptions and raw material shortages. The Argentine Peso’s depreciation against other currencies due to rising inflation makes imports more expensive and adversely impacts the demand for construction equipment.
The increase in inflation is expected to restrict construction equipment imports, slowing construction projects and, as a result, adversely affecting the demand for construction equipment in Argentina.
The rise in investment across construction and mining projects drives the need for IoT and AI-enabled equipment. The system provides operators with several advantages, including detecting and storing faults.
Increase the operator’s safety, increase production, and increase efficiency. As part of the economic recovery strategy, investment in the construction and mining industries encourages the use of the latest technology and construction equipment, allowing projects to be completed on time and efficiently. In the Argentina market, other emerging construction equipment companies such as LiuGong and Hyundai are also expected to follow the same trend.
The material handling equipment market was the largest segment in Argentina construction equipment market, followed by earthmoving and road construction equipment. The rise of the manufacturing industry has boosted the demand for forklifts. Due to the National Road Network Plan, National Public Investment Plan, and Recovering The Freight Network By programs, the construction industry is expected to generate the highest demand for construction equipment during the forecast period.
The construction equipment market in Argentina is shifting to a more innovative industry by switching to intelligent systems driven by IoT and data analysis for service, networking, and sustainability. In Argentina, construction equipment rental companies are expected to account for a significant market share.
Because Hitachi Construction Machinery has served the customers of the Argentina region for more than 65 years.
In early , SANY introduced its first ton electric-drive front shovel. Import statistics indicate that Argentina imported construction equipment primarily from China in Fax: Fax outside U. The last few years saw the markets go crazy. But in all of that, there have been stocks that have outperformed the market. Tech reporter Dan Howley reports on Roblox’s second-quarter earnings miss with a mixed forecast on daily active users.
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