North America mobile crane sales to be hardest hit by tariffs

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On a global scale, the outlook for construction equipment sales in 2026 is positive. Following a period of growth during the pandemic and subsequent adjustments in the recent years, worldwide sales are projected to increase by 3 percent. This growth is a welcome change after experiencing four consecutive years of declining sales since 2022.

Despite the positive global forecast, the North American construction equipment market is expected to face challenges. Unlike the rest of the world, North America is likely to witness a significant decline in sales. This anticipated decrease comes after a 5 percent drop in 2024 and an expected 10 percent fall in 2025.

The decline in North American construction equipment sales can be attributed to various factors. One contributing factor is the exceptionally high sales figures recorded from 2021 to 2024. Although the market experienced a decline in 2024, the levels remained historically high, resulting in the third-highest number of machines sold in the region in a single calendar year.

Moreover, the imposition of tariffs on imported goods, specifically those with high steel content entering the United States, is expected to have a detrimental impact on sales figures in 2026. The tariffs, which include both April’s ‘Liberation Day’ tariffs and August’s extension of Section 232 measures on steel-derived products, are projected to drive prices up significantly.

The cumulative effect of these tariffs is expected to result in an additional 27 percent in costs that will ultimately be passed on to customers. Consequently, the money spent on construction equipment in 2024 will have a reduced purchasing power, resulting in approximately 20 percent fewer machines for the same cost.

The construction equipment types that will be most affected by these tariffs are those that are predominantly imported, including excavators, backhoe loaders, articulated dump trucks, telescopic handlers, and mobile cranes. Of these, mobile cranes are expected to experience the most significant price hikes, with prices rising by an estimated 40 to 45 percent due to their high steel content and reliance on imported components.

Furthermore, while these price increases will make cranes more expensive for buyers, they do not add any additional value to the machines. Ultimately, these tariffs represent an additional tax on American businesses and consumers, with no corresponding increase in product quality or performance.

In conclusion, the North American construction equipment market is expected to face significant challenges in 2026 due to a combination of factors, including the impact of tariffs on imported goods. The increased costs associated with these tariffs are likely to drive up prices for consumers without providing any tangible benefit in return.