The South Africa construction equipment market is expected to grow at a CAGR of approximately 4.15% from 2022 to 2029, according to Research and Markets.
In the South Africa construction equipment market, the earthmoving construction equipment segment accounted for the largest industry share in 2022. In the earthmoving segment, excavators accounted for the largest share in 2022.
South African government’s increased investments in residential buildings, roads, and railways are expected to drive the demand for excavators during the forecast period. A few upcoming road construction projects in 2022, like the upgradation of the N2 and N3 Highway by the South African National Roads Agency Limited (SANRAL), are expected to boost the demand for road construction machinery in the South Africa construction equipment market.
The project is estimated to be completed in 2023, and SANRAL stated an investment of USD 1.63 billion. Other construction projects, for instance, the R573 Moloto Rehabilitation Project, involve upgrading the route that connects Pretoria with Marble Hall via KwaMhlanga and Siyabuswa. The project is expected to complete in 2025.
Eskom is constructing Kusile Coal Power Plant. It constitutes six 900 MW units and is one of the largest coal-fired power plants. It is expected to be operational by 2024 with an estimated cost of USD 8.2 billion.
Hive Hydrogen and African Oxygen (Afrox) had announced to invest in developing a new green ammonia plant in Nelson Mandela Bay by 2025. The construction is expected to commence in 2024. Another project, ‘The Salvokop Mixed-Use Precinct’ in Tshwane, would include the construction of five government client departments, schools, houses, and healthcare infrastructure. The project is valued at approximately USD 1.04 billion and is expected to be completed in December 2025.
The University of Johannesburg and the Department of Electronic Administrations have signed to develop an e-waste management project to improve electronic waste recycling and disposal. The project is in Gauteng and was launched on 1st March 2022.
Additionally, Averda (a waste management company) has planned to build a plastic recycling plant in Gauteng. The plant is expected to process up to 12,000 t/y of high-density polyethylene into reusable plastic pellets.
Additionally, the construction of a few other ongoing projects, for instance, the three Harbor Arch towers in Cape Town, is expected to boost the sales of aerial platforms in the country. The towers are designed to be 23-storeyed, encompassing 560 residential apartments, retail spaces, and restaurants. The construction commenced in 2020 and is expected to be completed by 2030.
A few active investor countries in South Africa are the UK, Belgium, Germany, Netherlands, the US, China, Japan, and Australia. These countries majorly invest in the country’s mining, manufacturing, and financial sector.