Market Trends
- Technological advancements in AWP with the use of hybrid technology results in making the equipment more productive, efficient, and profitable. Moreover, hybrid AWP have environment friendly features, such as reduction in risk of hydraulic spills. This is expected to be a significant trend in the industry, over the forecast period.
- Another crucial trend concerning the market involves protective measures for the operator safety. For instance, Genie Lift Guard Contact Alarm system, an electronic secondary solution for the additional protection of the operator, was introduced by Terex Corporation for emergencies. This system is designed to immediately alert others, in case an operator needs any help and reduce the risk of operators applying any unintentional pressure on the boom’s control panel.
Introductory Overview
Aerial Work Platforms (AWP) are mechanical devices that provide temporary access for people and handling equipment to inaccessible areas. There are different types of aerial work platform based on the platform height, which are used for construction activities, automotive sector, mining, and utility applications.
Market Size and Forecast
The demand for the AWP in UAE is increasing on the back of the rising construction activities across the country. Furthermore, the supportive government initiatives and regulations are also expected to propel the growth of the market. Similarly, increase in the UAE construction activities is also a major factor anticipated to strengthen the market growth over the forecast period. Also, expansion of construction activities in the UAE can be attributed to the higher market demand due to demographic changes and supportive measures by the government
Furthermore, various initiatives have been undertaken by the government of UAE concerning the growth of country’s infrastructure. The objective of such programs is to establish a national consensus for the UAE’s infrastructure including roads, housing, construction, and urban planning. Some of such companies include, Haulotte Group, Oshkosh Corporation, Quality Equipment Rental, Manlift, Access Rental Gulf LLC, Al Walid Equipment Rental, and Ascend Scaffolding, among other prominent players.
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Growth Highlights in UAE – 2018-2027
Dubai held a share of 45.96% in 2018 for the aerial work platform market by value. This is attributed to the increasing number of construction projects in Dubai, which is mainly due to the upcoming event of Expo 2020, along with the construction of Dubai metro red line.
Market Segmentation Synopsis
By Product
On the basis of product, the market is bifurcated into boom, scissor, vertical mast, and personal portable lifts. Out of these, boom lifts held the largest market share of 55.11% in 2018 and is expected to grow at a CAGR of 3.52% during 2020-2027. This growth is on the back of their versatility and flexibility, as compared to other lifts
By Power Source
On the basis of power source, the market is segmented into diesel-powered, electric and others, out of which the diesel-powered held the largest market share in 2018.
By Platform Height
On the basis of platform height, the market is segmented into four categories, namely less than 10.9 meters, 11 to 20.9 meters, 21 to 30.9 meters and above 30.9 meters. Among these segments, the 21 to 30.9 meters segment held the highest market share in 2018.
By Application
On the basis of application, the market is bifurcated into rental and non-rental segments. Out of these, the rental segment held the largest market share in 2018.
Growth Drivers
The growth of UAE aerial work platform market is significantly driven by the supportive government initiatives. The government of Dubai is focused on developing infrastructure ahead of the 2020 World Expo. It has assigned a total budget of USD 2.44 billion, out of which, USD 6.26 billion (70%) will be invested in infrastructural projects. Furthermore, Dubai government also plans to increase the government spending through expansionary fiscal policy. It aims for the exhibition and development of Dubai South, an important construction project for Expo 2020. Moreover, lower administrative outflows, reduced maintenance associated with the renting of the equipment and the increase in the ongoing and upcoming infrastructure and construction projects are among the major factors, which are anticipated to foster the market growth concerning the aerial work platform in UAE.
Restraints
One of the major restraining factors for the growth of UAE aerial work platform market is the volatility in oil prices. In addition, the UAE has experienced low growth in the construction industry on account of the critical slump in the oil prices. This can be attributed to lesser number of the construction contract awards required for the diversification of the economy, substantially affecting the construction of oil & gas projects. Furthermore, the lack of skilled technical expertise and operators along with high maintenance fees and repair costs associated with purchasing of the equipment are also expected to hamper the market growth over the forecast period.
Top Featured Companies Dominating the Market
Haulotte Group, Terex Corporation, Safelift, LOXAM, Oshkosh Corporation, Quality Equipment Rental, Manlift, Access Rental Gulf LLC, Al Walid Equipment Rental, Ascend Scaffolding are some of the leading players in the UAE aerial work platform market.
Haulotte Group, designs, manufactures, and markets aerial work platforms along with its subsidiaries. The company offers a large range of aerial work platforms along with manufacturing ranging from vertical masts and push around to telehandlers. It manufactures people and material lifting equipment for a wide array of both indoor and outdoor lifting applications. Some industrial end users for the company include logistics, airport operations, and manufacturing. In 2018 Haulotte Group launched HA20 LE, a PULSEO Generation, and fully electric mobile elevating platform for indoor and rough terrain applications.
Additionally, few players are increasingly adopting innovative ways to establish themselves in the fragmented and competitive market by focusing on carrying out sustainable and environment-friendly operations. Concurrently, new players in the market are also adopting the similar strategies in order to increase their product portfolio and gain a wider prevalence in the market.
