Global & India Heavy Construction Equipment Market to 2031

India’s infrastructure and construction industry has undergone remarkable growth and transformation in recent years, driven by the country’s rapid economic progress. The construction sector includes both real estate and urban development. The real estate segment covers offices, residential buildings, retail spaces, leisure parks, and hotels, while urban development focuses on areas like sanitation, water supply, schools, urban transport, and healthcare facilities.

Between FY2024 and FY2030, India plans to invest approximately US$1.723 trillion (INR 143 trillion) in infrastructure. In the Interim Budget for 2024–2025, the capital investment for infrastructure was increased by around 11.1% to US$133.86 billion, representing about 3.4% of the country’s GDP.

The growth of smart cities and the development of modern infrastructure to address the needs of the expanding urban population are driving demand for construction equipment in India. Cities such as Bangalore, Hyderabad, and Mumbai are prioritizing the development of water and wastewater treatment facilities, boosting construction activities. Major airports like Indira Gandhi International Airport in Delhi and Chhatrapati Shivaji Maharaj International Airport in Mumbai have also seen significant expansion and modernization efforts. These infrastructure projects are creating substantial demand for heavy construction equipment, fueling market growth over the forecast period.

The construction industry is a key contributor to India’s economy, playing a vital role in GDP growth, employment, and infrastructure advancement. It spans residential, commercial, industrial, and infrastructure construction sectors, with major drivers including rapid urbanization, rising disposable incomes, government policies, and increased foreign investment.

Urbanization: India is witnessing fast urban growth, with millions moving to cities in search of better opportunities. This trend is propelling demand for residential, commercial, and mixed-use developments.

Government Initiatives: Programs such as Housing for All, the Smart Cities Mission, and Pradhan Mantri Awas Yojana (PMAY) emphasize affordable housing and infrastructure development, particularly encouraging construction in Tier 2 and Tier 3 cities.

Infrastructure Development: Significant investments are being directed toward transportation infrastructure including highways, metro rail systems, and airports. Major projects like Bharatmala Pariyojana and Sagarmala aim to improve logistics and connectivity nationwide.