Saudi Arabia Construction Equipment Market Size, Share, Trends and Forecast by Solution Type, Equipment Type, Type, Application, Industry, and Region, 2026-2034

Saudi Arabia Construction Equipment Market Overview:

The Saudi Arabia construction equipment market size reached USD 2,395.88 Million in 2025. The market is projected to reach USD 3,198.93 Million by 2034, exhibiting a growth rate (CAGR) of 3.26% during 2026-2034. The market is driven by the Saudi government's Vision 2030 initiative, which focuses on large-scale infrastructure development including giga projects such as NEOM, Qiddiya, and the Red Sea Project. Government's ambitious housing programs aimed at achieving 70% homeownership by 2030 are driving substantial residential construction activity. Significant port expansion projects and logistics infrastructure developments are also creating robust demand for material handling equipment, thereby expanding the Saudi Arabia construction equipment market share.

Saudi Arabia Construction Equipment Market Trends:

Vision 2030 Giga Projects Driving Unprecedented Infrastructure Investment

Saudi Arabia's ambitious Vision 2030 program is fundamentally transforming the nation's construction landscape through massive infrastructure investments and economic diversification initiatives. The kingdom has presented a trillion-dollar pipeline of infrastructure projects that includes sustainable energy producing facilities, city expansions, transportation network renovations, and giga-tourism destinations. As one of the largest construction projects in the world, NEOM employs more than 140,000 people as of 2024 and is projected to grow to 200,000 by 2025, indicating the extent of continuous development. With final phases planned between 2026 and 2030, the 57-square-kilometer King Salman International Airport in Riyadh is expected to become the largest airport in the world, handling 120 million passengers annually. Major projects including Qiddiya entertainment city, the Red Sea Project, and extensive urban development initiatives in Riyadh, Jeddah, and Dammam are creating unprecedented demand for earthmoving equipment, cranes, and specialized construction machinery. After a three-year, USD 800 million modernization project that more than doubled the terminal's capacity from 1.8 million twenty-foot equivalent units to 4 million TEUs, with potential expansion to 5 million TEUs, DP World and the Saudi Ports Authority opened the enlarged South Container Terminal at Jeddah Islamic Port in March 2025. By 2028, Saudi Arabia will be the greatest construction market in the world due to these revolutionary infrastructure expenditures, driving sustained demand for advanced construction equipment across all categories and supporting the Saudi Arabia construction equipment market growth.

Government Housing Programs Expanding Residential Construction

Launched in 2018 as part of Vision 2030, the Saudi government's comprehensive Housing Program is transforming the residential construction industry by aiming to increase homeownership from 63.7% at the end of 2023 to 70% by 2030. To meet the demand from the country's youthful population, 45% of Saudi citizens are under 20 and 63% are under 30, and this ambitious objective calls for the construction of over 115,000 additional residences every year. The Sakani program, a crucial part of the Housing Program that provides a range of housing options, including off-plan homes, ready-to-move-in homes, and self-build possibilities, has already helped over a million households. Sakani has signed almost 800,000 contracts, including 415,000 for ready-made homes, 201,000 for self-construction projects, 90,000 for off-plan items, and 94,000 for Ministry land products. Saudi Arabian regions are seeing a significant increase in demand for excavators, loaders, bulldozers, and concrete equipment as a result of this enormous residential construction boom, making the housing sector the main growth engine for construction equipment sales through 2030.

Port Expansion and Logistics Infrastructure Development Driving Material Handling Equipment Demand

The kingdom's massive port modernization and logistics infrastructure development are being driven by Saudi Arabia's strategic goal on becoming a global logistics hub under Vision 2030. The South Container Terminal expansion at Jeddah Islamic Port, which increased port capacity from 1.8 million TEUs to 4 million TEUs with plans to expand to 5 million TEUs as demand increases, is a significant accomplishment in this change. The terminal's modernization incorporates state-of-the-art automation and digitization, with intelligent systems that use AI-powered cargo tallying for accurate record-keeping and IoT-enabled cargo tracking to cut gate transaction times from two minutes to just 10 seconds. The fleet of quay cranes will grow from 14 to 17 by the end of 2025 and to 22 when the terminal reaches full capacity thanks to the introduction of automated and electrified yard cranes. The 415,000-square-meter Jeddah Logistics Park, the largest integrated logistics facility in the country with warehousing, distribution, and freight forwarding capabilities, is being developed by DP World next to the dock. The terminal has a total quay length of 2,150 meters, including an 18-meter-deep deep-water quay that can hold up to five ultra-large container ships at once. The capacity of refrigerated containers has increased from 1,200 to 2,340 units to accommodate the increasing demand for perishable goods, such as food and medications. To provide a more extensive local sales and service network, XCMG Machinery formally established its Saudi Arabia subsidiary firm in Riyadh in August 2023. To improve service efficiency throughout the region, XCMG subsequently expanded its operations in June 2024 by opening a new service center in Dammam that includes a transit warehouse, component warehouse for important projects, and training center. This facility joins the company's current service centers in Riyadh, Jeddah, and Tabuk. These port and logistics investments are generating substantial demand for material handling equipment including cranes, forklifts, telescopic handlers, and aerial platforms, as Saudi Arabia positions itself as a critical trade gateway connecting Asia, Europe, and Africa along vital shipping routes.

Saudi Arabia Construction Equipment Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2026-2034. Our report has categorized the market based on solution type, equipment type, type, application, and industry.

Solution Type Insights:

• Products
• Services

The report has provided a detailed breakup and analysis of the market based on the solution type. This includes products and services.

Equipment Type Insights:

• Heavy Construction Equipment
• Compact Construction Equipment

A detailed breakup and analysis of the market based on the equipment type have also been provided in the report. This includes heavy construction equipment and compact construction equipment.

Type Insights:

• Loader
• Cranes
• Forklift
• Excavator
• Dozers
• Others

The report has provided a detailed breakup and analysis of the market based on the type. This includes loader, cranes, forklift, excavator, dozers, and others.

Application Insights:

• Excavation and Mining
• Lifting and Material Handling
• Earth Moving
• Transportation
• Others

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes excavation and mining, lifting and material handling, earth moving, transportation, and others.

Industry Insights:

• Oil and Gas
• Construction and Infrastructure
• Manufacturing
• Mining
• Others

The report has provided a detailed breakup and analysis of the market based on the industry. This includes oil and gas, construction and infrastructure, manufacturing, mining, and others.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Construction Equipment Market News:

• August 2024: In order to provide 100 pieces of construction equipment by the end of September 2024, HD Hyundai Infracore entered into a supply agreement with Saudi Arabia's top construction companies, Saudi Pan Kingdom Company and Nesma & Partners Contracting. The Riyadh Ring Road project, which aims to build an outer ring road around the Saudi capital by 2027, will use the equipment, which consists of 20 huge 50-ton excavators, 40 medium-sized 20-ton excavators, and 40 giant wheel loaders.
• March 2025: The USD 800 Million expansion program at Jeddah Islamic Port was completed with the opening of the newly expanded South Container Terminal by DP World and Saudi Ports Authority. The updated terminal now has automated and electrified yard cranes. As the terminal grows to a capacity of 5 million TEUs, the fleet of quay cranes will increase from 14 to 17 by the end of 2025 and eventually reach 22. Additionally, the capacity of refrigerated containers will increase from 1,200 to 2,340 units.
• June 2024: In addition to its current facilities in Riyadh, Jeddah, and Tabuk, XCMG expanded its activities in Saudi Arabia by establishing a new service center in Dammam. In order to improve regional service efficiency for the company's involvement in significant initiatives like the Red Sea Project, NEOM, and Diriyah Development Authority project, the new center has a transit warehouse, component warehouse for important projects, and training center.

Saudi Arabia Construction Equipment Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia construction equipment market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of solution type?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of equipment type?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of type?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of application?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of industry?
• What is the breakup of the Saudi Arabia construction equipment market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia construction equipment market?
• What are the key driving factors and challenges in the Saudi Arabia construction equipment market?
• What is the structure of the Saudi Arabia construction equipment market and who are the key players?
• What is the degree of competition in the Saudi Arabia construction equipment market?

Key Benefits for Stakeholders:

• IMARC's industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia construction equipment market from 2020-2034.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia construction equipment market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia construction equipment industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.