Construction equipment market insights July 2025
By
Paul Lyons
·
3 minute read
Welcome to the fourth edition of our bi-monthly Market Insights blog which brings together all the key aspects of the Market Insight Reports that I provide. I will be producing this overview and summary every other month to ensure that you don’t miss any of the key information we are sharing with members.
Equipment sales
Sales of construction and earthmoving equipment slowed down in May after showing significant growth in April and matched the same level of monthly sales as last year. As a result, sales in the first five months of the year are now 9.5% ahead of the same period in 2024, reaching 12,300 units. The trend in sales is moving in the direction expected, with a single digit increase expected for the full year compared with 2024.
Members can view the latest report on equipment sales here.
The June sales update will be published in the last week of July, so keep an eye out for that report.
The latest quarterly update on UK imports and exports of construction equipment for Q1 this year was published in May. Exports remained on a downward trend in the first quarter and saw a 6% decline in tonnage shipped compared with Q4 2024. The USA remained as the leading destination but saw its share of total exports fall to 20% in Q1 compared with 26% for the whole of last year. Imports saw a 9% increase in the first quarter but remained at fairly low levels compared with last year. Imports from China saw a significant fall ending up in 5th place in the country ranking in Q1 after being the leading source in 2024.
UK trade in construction equipment in Q2 2025 should be available at the end of August.
The construction market
The Purchasing Managers Index (PMI) provides a summary of all things construction from bricks to cement and is a good indicator of what is happening in the wider sector.
The Index in June remained on an upward trend but at 48.8, it still hasn’t reached the 50.0 level to start registering growth. This reflects that uncertainty remains within the industry on prospects for growth this year. Housebuilding recorded an index of 50.7 in June, which was encouraging, but Infrastructure and commercial activity remained negative.
The PMI for the UK construction market for June can be viewed here.
The Office for National Statistics (ONS) have published the latest data on construction activity. Output showed modest growth of 0.9% in April and continued the upward trend seen since the beginning of the year. As a result, output in the first four months of the year is showing 1.5% growth on the same period last year. This increase in activity levels is due to a 2.7% increase in new work, while repair and maintenance has been at the same levels as last year in the first four months. As a reminder, output last year showed a small decline of 0.4% compared with 2023 levels.
The Construction Products Association (CPA) published their Spring forecast in April and discussions with them suggest that their views of activity levels this year are still consistent with this. The Spring forecast anticipates modest growth in construction output of 1.9% this year, which is a slight reduction on the Winter forecast which indicated a 2.1% increase in output in 2025. More significant growth is expected next year at 3.7%, but this has also been downgraded from an earlier forecast of 4.0%. The forecasts for lower levels of activity reflect weaker economic growth prospects and subdued business confidence.
The latest construction market update published by Glenigan in July reports renewed optimism within the sector and anticipates a return to growth after a flat 2024. New housing starts have already shown growth in the first four months of the year and further growth is anticipated in the second half. The industrial sector is expected to be one of the strongest performers this year, while retail is expected to show a more gradual recovery path.
There are many other key reports and indicators available on the Market Insights Area of the CEA website. These are all Member Only resources, so I encourage you to take a look.
I trust you find this summary useful and a good reminder of all the key industry statistics and indicators that are available to you as CEA Members. If there are any other measures or metrics you would like me to take a look at please don’t hesitate to get in touch.