Demand for Space at bauma again very high

bauma 2016

Demand for Space at bauma again very high

Last year North America and Europe were the most dynamic construction machinery markets in the world. And according to market experts, this trend could continue in 2015. This is one of the reasons why the market in construction machinery and building materials machinery is in an upbeat mood in this "pre-bauma year", despite all the political uncertainties. The next edition of bauma takes place from April 11 to 17, 2016 at the Messe München exhibition center, Germany, and will take up all the available space – a total of 605,000 square meters.
(ed. WoMaMarcel - 09/6/2015)
<Blank Space>
The upcoming edition (April 11 to 17, 2016) of the World’s Leading Trade Fair for Construction Machinery, Building Material Machines, Mining Machines, Construction Vehicles and Construction Equipment will take up all the available space - a total of 605,000 square meters – at the Messe München exhibition center in Munich, Germany.

Munich, Germany – Following the March 2015 deadline for applications to exhibit at the next bauma, it is clear that demand for exhibition space is again very high. The upcoming edition (April 11 to 17, 2016) of the World’s Leading Trade Fair for Construction Machinery, Building Material Machines, Mining Machines, Construction Vehicles and Construction Equipment will take up all the available space - a total of 605,000 square meters of space - at the Messe München exhibition center in Munich.

Again the event is set to be very diverse and international: Already, at this point in time, almost 3,000 exhibitors from over 50 countries have applied to take part. Just how important bauma is to the international building and construction machinery sector is also reflected in the number of international country pavilions that are being organized. Nine countries in all are putting on dedicated presentations: Brazil, China, Czech Republic, France, Great Britain, Italy, Korea, Northern Ireland, and the US. The top ten countries of origin among the exhibitors are as follows (after Germany, as per current applications status): Italy, Turkey, the Netherlands, Spain, UK, US, Austria, France, Sweden and Switzerland.

Klaus Dittrich, Chairman and CEO of Messe München, is very satisfied: "The response from the exhibitors and the high level of demand for space are truly amazing." But Dittrich is also very aware of just what problems this brings: "Of course we want to give as many companies as possible the chance to present at bauma. Yet because of this high level of demand, we will unfortunately not be able to meet all requests for space and participation."

Already it is clear that the success story of bauma is set to continue. The last event - with a total of 3,421 exhibitors from 57 countries and 535,065 visitors from over 200 countries - broke all previous records.

High Increases expected in the North American Market

The industry associations are seeing good prospects for the construction machinery and building machinery market in the current global market. Things are going well for the customers, the building industry is growing, and demand is there – not only in Europe, but above all worldwide. Take the US, for example: Here business is buoyant: In 2014 the European manufacturers alone managed to increase their sales there by around 19%. And the signals for 2015 are also positive. Companies hiring out construction machinery are one of the key drivers of this demand. Last year already they were the biggest customer in the US.

The market in Europe is also picking up again, and the European construction industry is no longer hitting the headlines for the wrong reasons. According to market researchers at Euroconstruct, all the segments in the building industry in Europe will recover in 2015. That will lead to an overall improvement in demand for machinery. Great Britain and Scandinavia are among the countries offering the most promise in Europe. And the German market will continue to be an anchor of stability in Europe.

According to the industry associations, China – the world’s biggest market for construction machinery – will stabilize in the current year, although initially at a low level. In 2014 the sector in China had to cope with a double-digit decrease – for the third time in a row. A real turnaround in this situation is not yet in view, because of overcapacities and the relatively new machinery fleets, but some recovery is predicted. The statistics company Statista is forecasting the market for construction machinery in China will reach a value of almost 44 billion US dollars in 2015.

Positive Trends in the Near and Middle East

Also picking up, alongside the traditional markets, are the markets of the Near and Middle East. The building sector in Saudi Arabia, for example, is currently one of the fastest growing sectors of the country’s economy, according to Germany Trade and Invest (GTAI). In the medium term, too, this high level of state investment in expanding the transport infrastructure will ensure above-average growth for the sector. Provisional figures for 2014 in the construction industry in this Gulf monarchy put growth at around 6.7% in real terms. The second largest Gulf market for construction projects is the United Arab Emirates. According to GTAI analysts residential construction boomed here in 2014, with investment totaling 16 billion US dollars, representing a rise of 35% compared to the previous year.

The market in India, too, according to sector insiders, should also move forward again. The consultants at Off-Highway Research are expecting sales of construction machinery by latest 2016, in this, the seventh-largest country on Earth, to regain the highest level reached so far, in 2011. In that year 72,000 units were sold. By 2018, the analysts predict that sales will rise continuously to in the region of 97,000 units. The products most in demand on the sub-continent remain the same as today: backhoe loaders, crawler-excavators, mobile cranes, mobile compressors, compaction equipment and wheel loaders.

Uncertainty through political crises is a factor that could halt growth on the world markets. The key criterion for the industry is the extent to which the customers let themselves be influenced by these uncertainties – how they act and react. Johann Sailer, President of the VDMA Construction Machinery and Building Materials Machinery Association, observes: "Any scenario seems possible to us. So we are not expecting the markets to outperform. Nevertheless we are optimistic, including for bauma next year." For the exhibitors and visitors taking part in the World’s Leading Trade Fair for Construction Machinery, Building Material Machines, Mining Machines, Construction Vehicles and Construction Equipment this is an encouraging outlook.

Upcoming Events

Facebook