Exports of US-made construction equipment ended 2014 with a 13.2% drop compared to 2013, with a total $17.26 billion (€15.4 billion) shipped to global markets. According to the Association of Equipment Manufacturers (AEM), citing US Department of Commerce data it uses in global markets reports for members, US exports fell to all world regions for 2014, and business to Europe, South America and Australia/Oceania was the hardest hit.
Exports of US-made construction equipment ended 2014 with a 13.2% drop compared to 2013, with a total $17.26 billion (€15.4 billion) shipped to global markets.
According to the Association of Equipment Manufacturers (AEM), citing US Department of Commerce data it uses in global markets reports for members, US exports fell to all world regions for 2014, and business to Europe, South America and Australia/Oceania was the hardest hit.
In the year-end 2014, US construction equipment exports by major world regions compared to year-end 2013:
• Canada dropped 2%, for a total $6.66 billion (approximately €5.9 billion).
• South America declined 28.3% for a total $2.57 billion (€2.3 billion).
• Asia decreased 7.1% for a total $1.98 billion (€1.77 billion).
• Europe dropped 22.6% for a total $1.98 billion
• Central America fell 11.4% for a total $1.95 billion (€1.75 billion)
• Africa decreased 5.2% to $1.23 billion (€1.1 billion).
• Australia/Oceania fell 32.4% to $889.5 million (€794 billion).
The top countries buying the most US-made construction machinery during 2014 (by dollar volume) were:
1. Canada, $6.66 billion (€5.95 billion), down 2%.
2. Mexico, $1.59 billion (€I.4 billion, down 11.3%).
3. Australia, $808.3 million (€721 million), down 34.9%.
4. Brazil, $720.5 million (€643 million), down 19%.
5. South Africa, $669.5 million (€597 million), down 1%
6. Chile, $617.4 million (€550.6 million), down 38.2%.
7. Belgium, $461.3 million (€411 million), down 25.2%.
8. Peru, $460.4 million (€410 million), down 27.8%.
9. China, $367.8 million (€328 million), down 3.1%.
10. Saudi Arabia, $326.9 million (€292 million), up 10.7%.
The fourth-quarter of 2014 marked the eighth consecutive quarter that US construction equipment exports experienced year-over-year declines.
While exports have been decreasing steadily since the second quarter of 2012, imports have been trending higher.
The fast growth in the post-recession export figures (2009-2012) was a strong driver for domestic manufacturers, though it appears the domestic market has become one of the more robust growth engines for the industry.
AEM says the recent declines in total construction equipment exports, which were in line with regional development, have been partly due to a retrenching from accelerated spending earlier in the economic recovery; a strengthening dollar against the Japanese Yen, and declines in commodity prices, particularly oil, copper and coal.
From a global perspective, the US market remains strong, though somewhat affected by the oil price declines.
In the global markets South America, and specifically the Brazilian market, remain challenging; China also experienced a sluggish demand, despite government stimuli;Europe’s market remained uneven with growth in the United Kingdom, and the Russian market declined significantly.
AEM says the strong decrease in exports to Belgium can be attributed to the overall European market, as Belgium remains a throughput nation
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