India’s construction equipment industry has achieved its highest first-half (H1) growth in three years, driven by increased infrastructure spending, rapid urbanization, and strong demand for advanced machinery. Industry reports indicate a double-digit surge in sales and production during the first half of FY25, marking a significant rebound from previous slowdowns.
The sector’s growth has been fueled by government-led mega projects, including highway expansions, smart city developments, and the push for green energy infrastructure. Rising investments in roads, railways, and metro construction have significantly boosted the demand for excavators, cranes, backhoe loaders, and concrete equipment.
“The surge in demand is a result of policy support, increased project execution, and a growing preference for technologically advanced, fuel-efficient machinery,” said a senior industry executive.
Additionally, digitization and automation trends in the sector have contributed to efficiency and cost reductions, attracting both domestic and international investments. Experts predict continued momentum in the coming quarters, with sustained infrastructure spending and private sector participation further propelling the industry.