Forestry Equipment Market is expected to grow at a CAGR of 4% during the forecast period (2023-2030).
Forestry Equipment Market - Strategic Insights
By Product Type and By Region
Report Insights Covered
Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights.
Fastest Growing Region
Largest Market Share
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The forestry equipment comprises the machinery used for excavating, harvesting, and finishing wooded areas. The forestry equipment aids in the process of logging. It helps in clearing the forest for replanting the trees, beginning the construction, and other such uses.
Growing demand for forestry equipment
Forestry equipment is utilized all around the world for wildland fire management, as well as wildlife and sanctuary management, to help preserve ecosystems. Forest equipment is also used in dealing with forest fires, for transportation of heavy logs and trees, removal of unwanted vegetation, and many more applications.
According to data provided by Statista, it is predicted that the forestry equipment and construction equipment, rental and leasing, is expected to reach a market value of over 42 billion dollars by 2024.
Technological advancements are expected to boost the market
The forestry equipment market is undergoing a technological transition. Several market players are expanding their investment in sophisticated forestry equipment research and development in order to boost productivity and efficiency in various forestry operations. Forestry companies are embracing capabilities like geographic information system (GIS) mapping, satellite imaging, 3D simulations, big data and data collection, telematics and remote diagnostics, and supply chain digitalization to boost efficiency and sustainability. All of this can help mobile forestry equipment run more efficiently and increase forest production, allowing for more work to be done with less environmental repercussions.
In May 2021, Weiler announced the release of the new H157 track harvester. A newly developed clam shell design for improved service access will be included with the H157. Additionally, this harvester features unique machine capabilities such as a hydraulically reversing fan and a redesigned harvesting head for cleaner lines running down the boom, new two feed roller and four feed roller options, and more efficient operation.
In June 2021, Waratah Forestry Equipment announced the release of H423 masters harvester. It's built to handle everything from early thinnings to late thinnings, as well as light regeneration harvests.Its exceptional multi-tree harvesting abilities and high power-to-weight ratio raise productivity to new heights. When paired with its 22.8 inch cutting capacity and optional multi-tree-handling equipment, the H423 boasts a 16.5 in. tip-to-tip delimbing diameter, offering adequate range for superior delimbing.
Restraints affecting Forestry Equipment market include Deforestation
COVID-19 Impact Analysis
The COVID-19 pandemic has affected global economies and citizens all over the world. Its impact on enterprises and workers can also be observed in the forestry sector. Due to the disruptions in supply-chains in the forestry equipment sector, the demand for wood products and wood itself has gone down. The pandemic has also affected the industries that use forest products as raw materials, that comprise industries related to manufacturing and automotive construction.
The subsequent labour shortages, reduced demand, delayed productions has coerced many organisations to halt or even totally shut down their ongoing operations. But on the other hand, an increase in demand for other forest made products such as tissues for masks, toilet papers, packaging materials, has been observed. The increase has been calculated to be more than 200%. Moreover, many organisations have drafted up labour support policies in an effort to make their forestry equipment available to other organisations. These factors will surely support the forestry equipment market in this unprecedented pandemic situation.
Based on Product Type
The global forestry equipment market is segmented based on the product type as the felling equipment, extracting equipment, on-site processing equipment, and other forestry equipment. The felling equipment consists of the chainsaw, harvester, and feller buncher.
Feller buncher is the type of harvester used for logging. It is a motorized vehicle with an attachment to gather and cut the tree before felling it. Feller buncher is a self-propelled machine with a cutting head that is capable of holding more than one stem at a time. Its cutting head is used for cutting, holding, and placing the stems on the ground. The feller bunchers consist of the self-leveling cabs to extend the slope on which they can operate. Feller buncher is propelled by either wheels or track machines. The tracked feller bunchers are slower in comparison to the wheeled machines. The feller bunchers do not have the processing capabilities. Tracked feller bunchers are also capable of operating on wet and loose soils. The market is dominated by the availability of several feller bunchers.
For instance, John Deere’s L-II Series Wheeled Feller Bunchers are easy to incorporate and to maintain the design. It has a gross power of 157 kW (211 hp), gross torque of 923 Nm (680 ft. – lb.), a Wheelbase of 3,023 mm (119 in.), and an operating weight of 13,910 kg (30,704 lb.). It has an optimal weight distribution and a long wheelbase combined to maximize stability. It is composed of durable heavy-duty axles that deliver stability and hill-climbing power under the toughest forest conditions.
Based on Region
By region, the global forestry equipment market is segmented into North America, South America, Europe, Asia-Pacific, Middle-East, and Africa. Among all of the regions, North America dominated the global forestry equipment market and expected to grow at the highest CAGR during the forecasted period due to the high adoption of several forestry equipment such as hoazers, slashers, grinders, excavators and engines.
After a recent U.S. housing boom, Resolute Forest Products Inc. decided to $50 million to expand its timber production. The initiatives of Resolute Forest are planned to be finished by the third quarter of 2022. The company increased its capital investment projection for 2021 from $100 million to $125 million. This will contribute to the growth of forestry equipment market in North America during the forecasted period.
The Asia-Pacific region is expected to have positive market growth over the forecasted period due to the growing demand for mechanized techniques of forest cutting. There is an increasing need for wood and wood-based products that have resulted in the need for mechanized felling of trees. There is growing deployment of harvesters for forest operations and farm efficiency.
The global forestry equipment market is fragmented and highly competitive with the presence of several international and local markets. Caterpillar, Deere & Company, Doosan Infracore Co. Ltd., Eco Log Sweden AB, Grema, Hitachi Construction Machinery Co., Ponnse, and CNH Global are the leading market players with significant market share.
Market rivalry is heightened by product diversity, revenue growth, and opportunity. To maintain their competitive strengths, Product development, novel product launch, collaborations, acquisitions, mergers, market expansion, capacity utilization, and product diversification are all the strategies that are being used by the leading market players.
For instance, in 2019, Caterpillar Inc. announced that it had reached a definitive deal to sell its purpose-built forestry business to Weiler Forestry, Inc. Due to this, Caterpillar was able to better coordinate its resources by selling the purpose-built forestry company, allowing it to provide solutions that match customer objectives across a wide range of applications. In June 2021, John Deere introduced its range of construction and forestry equipment to the sub-Saharan African market, enabling customers in the region to get access to quality and technologically advanced forest equipment market.
Company Profile: John Deere Construction Company
Overview: John Deere is an American corporation that specializes in manufacturing agricultural, construction and heavy forestry equipment. It was founded in 1837 by John Deere.
Product Portfolio: In the forestry equipment market, John Deere offers a large product portfolio. Trucks, backhoes, cutters & shredders, dozers, engines, excavators, loaders, mowers, skidders, sprayers, sewing machines, and tractors are just a few examples.
Recent Developments: 1) In October 2019, Deere & Company had increased its options on its G-Series forestry swing machines to help lower daily operating costs, boost productivity, and increase uptime. The new updates include the improvements to the machine design and the addition of more standard features, providing loggers with a streamlined, reliable machine.
2) In December 2019, Deere & Company had expanded its forestry technology solutions to full-tree equipment including feller bunchers and skidders. These streamlined software solutions offer loggers enhanced machine visibility and communication for a productive workday.
3) In May 2021, Deere & Company began testing its first ever battery-electric backhoe loader with National Grid, an electricity, natural gas and clean energy company.
**The global forestry equipment market report will provide access to approximately 53 market data tables, 44 figures, and 200 pages
What is the Projected CAGR value of the Forestry Equipment Market?
Forestry Equipment Market is expected to grow at a CAGR of 4% during the forecasting period 2023-2030.
Which region controlled the global market during 2023-2030?
North America region Controls the Forestry Equipment Market during 2023-2030.
Which is the fastest growing region in the Forestry Equipment Market?
Among all regions, Asia Pacific is the fastest growing market share during the forecast period.
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