Automotive Industry Today
Indonesia Construction Equipment Market Forecast to Reach USD 4.68 Billion by 2030 - Mordor Intelligence
Introduction
The Indonesia construction equipment market is gaining momentum as it accelerates the development of transport infrastructure, strategic public projects, and industrial facilities. Ongoing investments in national connectivity and urban development are creating strong demand for construction machinery, supported by a favorable policy environment and long-term infrastructure plans.
Spending on toll roads, the new capital city project (IKN Nusantara), along with a steady flow of housing and logistics developments, is driving increased adoption of heavy equipment such as excavators, loaders, forklifts, and cranes. In parallel, continued infrastructure expansion and a gradual recovery in mining activity are reinforcing demand, supporting sustained growth across major equipment categories.
Key Market Trends
- Land Acquisition Bureaucracy Slows Project Implementation
- Currency Volatility Raising Imported Machinery and Financing Costs
- Commodity Super-Cycle Driving Mining Capex Growth in Kalimantan
Geography Analysis
Java remains the core of Indonesia’s construction equipment market, holding 57.71% share in 2024, driven by dense urban projects, toll road development, and high rental utilization across major cities.
Kalimantan is the fastest-growing region at a 6.55% CAGR to 2030, fueled by the IKN Nusantara project, mining activity, and port upgrades requiring heavy earth-moving and lifting equipment.
Sumatra benefits from large-scale toll road and logistics corridor investments, generating steady demand for road construction and material-handling machinery.
Sulawesi, Papua, and Maluku add niche growth through mining-led projects, particularly in nickel and cobalt, supporting demand for heavy shovels and specialized excavators.
Major Players
Major global OEMs operating in Indonesia include Caterpillar Inc., Komatsu Ltd., Hitachi Construction Machinery Co., Ltd., SANY Heavy Industry Co., Ltd., and Zoomlion Heavy Industry.
Conclusion
The Indonesia construction equipment market is set for steady growth through 2030, supported by ongoing infrastructure development, urban expansion, and large public projects. Strong demand for earth-moving and material-handling equipment, combined with regional growth led by Java and emerging opportunities in Kalimantan, positions the market for sustained activity. With established global manufacturers and expanding local participation, Indonesia remains a key construction equipment market in Southeast Asia.
Industry Related Reports
Middle East And Africa Construction Equipment Market: https://www.mordorintelligence.com/industry-reports/middle-east-and-africa-construction-equipment-market?utm_source=Industrytoday.co.uk
Australia Construction Machinery Market: https://www.mordorintelligence.com/industry-reports/australia-construction-machinery-market?utm_source=Industrytoday.co.uk
Asia-Pacific Construction Equipment Market: https://www.mordorintelligence.com/industry-reports/asia-pacific-construction-equipment-market?utm_source=Industrytoday.co.uk
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