According to a recent report by MENAFN.com, the worldwide mining equipment market is expected to grow by a rate of 8.6 percent per year through the end of 2017. This incredible rate of growth is being spurred by a number of factors. Developing nations like China and India require larger quantities of mined materials than ever in order to keep pace with their incredible growth. In more developed areas, recovery in manufacturing output and construction spending is leading to increased demand for mining machinery as well.
Rising Global Energy Demand Increases Demand for New and Used Mining Equipment
As more nations become developed, demand for energy steadily increases. As a result, demand for coal is on the rise, and there is an ever-increasing need for the appropriate mining equipment. However, this trend is somewhat tempered by the shift away from using coal for electricity in many markets. Still, many nations continue to rely heavily on coal, so the associated mining equipment will continue to be in high demand.
Increased Metals Mining Spurs Demand
The metals mining market is expected to be the most quickly growing segment of the mining industry. This is primarily due to the increased production of aluminum and steel, which are relied on in the construction industry and other fields. There has also been a marked increase in the consumption of fertilizer minerals and construction aggregates, and this increase is also causing additional growth in the new and used mining equipment market.
Mined Materials in High Demand
Demand for mined materials has reached extreme levels in places like China, India and other developing nations. This is largely why the mining equipment market is expected to grow at such a phenomenal rate. It is projected that the market will total more than 135 billion by the end of 2017. Developing markets like Brazil, India and China continually need new or used mining equipment, so the mining equipment market should continue to grow and prosper for a long time to come. Unfortunately many of the world’s top manufactures of mining related equipment have production backlogs of 6-months to 3 years. This means the after-market is the only way to secure the necessary to supply the ongoing demand.
In countries that have large deposits of industrial materials, there will also be increased demand for mining machinery. This phenomenon is already underway in places like Chile, Australia, Peru and Indonesia. However, the strongest sales growth thus far has been in the Asia/Pacific region. Central and South America rank second due to large supplies of copper, iron ore and bauxite. Fortunately, copper prices have largely recovered, and this is also contributing to the increased demand for machinery. With construction spending on the rise as global populations continue to rise, it is widely expected that consumption of fertilizer minerals such as Phosphate Rock will also continue to be in high demand.
*Note the Phosphate Minerals Plant Liquidation Below:
Finally, it’s to be expected that there will continue to be increased demand for mining machinery as the world’s population grows. The population of the world shows no signs of slowing down, so it’s safe to say that demand for high-quality mining equipment will continue to be strong.
Machinery and Equipment is currently liquidating the 5,000 ton/day AGRIUM phosphate minerals processing plant.
Link to the Phosphate Minerals Plant Liquidation: