European Country Analysis: Spain

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The Market for Construction Equipment and Agricultural Tractors in Spain (August 2016)

Off-Highway Research's Country Analyses are in-depth reviews of market activity for 12 equipment types in other smaller European countries, together with profiles of leading manufacturers and distributors.

Typical coverage includes:

Equipment Analyses Market Shares Market Size and Trends
  Domestic Production Forecasts
Distributor Profiles Ownership Financial Analysis
  Sales by Product Franchises
  Distribution Future Developments 


From 1998 to 2007, the construction equipment market in Spain enjoyed a golden age for sales of new machines, as well as the rejuvenation and expansion of the active population of machines and the introduction of types that had been previously slow to find acceptance in the country.  Sales were more than twice as great as the average of the preceding 10 years.  The economy flourished, and for historical reasons there was far from enough plant available to do the work.  The housing market inflated hugely, as buyers moved to acquire houses on new suburban developments rather than staying in apartment blocks.  Public works, focusing on railways and roads in particular, were a national priority and those who needed construction equipment could finance it with interest rates lower than seen for many years. 

The first bankruptcies among overstretched property developers appeared in the spring of 2007.  That year proved to be the last good period for construction equipment sales.  The market fell rapidly in 2008 and even more in 2009 when sales were between 55 and 90 per cent down on 2007, varying by product.  The contagion affected those involved in public works and the finance industry grew to detest anything associated with construction.  Credit became very hard to obtain and as a result those involved in construction equipment had very little visibility on how the market would develop.  

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