India’s construction equipment industry is poised for a significant rebound in FY26, following a modest 3% growth in FY25, according to the Indian Construction Equipment Manufacturers’ Association (ICEMA). The sector achieved total equipment sales of 1,40,191 units in FY25, up from 1,35,650 units in FY24, with domestic sales growing by 2.7% and exports surging by 10%.
Industry leaders attribute the subdued growth in FY25 to factors such as general elections, the implementation of new emission norms, and financing challenges. However, the outlook for FY26 is optimistic, driven by the government’s continued focus on infrastructure development and the Indian Meteorological Department’s prediction of above-normal monsoon rainfall, which is expected to boost rural demand.
Deepak Shetty, President-Designate of ICEMA and CEO & MD of JCB India, expressed confidence in the sector’s prospects, stating, “With the government’s infrastructure thrust and favorable monsoon forecasts, I expect double-digit growth for the sector this year”.
The industry also continues to strengthen its global footprint, with JCB India exporting over 10,000 machines to the Americas in FY25 and operating five manufacturing facilities across the country.
As India ascends to the position of the world’s fourth-largest economy, the construction equipment sector is expected to play a pivotal role in supporting the nation’s infrastructure ambitions.
