Dive summary:
- American builders and contractors hopefully will continue to see growth in 2013, but they are unlikely to begin buying equipment rather than renting it yet, according to market analysts.
- Manfredi & Associates says it expects rental companies to be buying lifting equipment next year to meet rental demand. Manfredi believes rental companies will wind up accounting for 45% to 50% of heavy equipment purchases this year.
- Associated General Contractors' Ken Simonson, the organization's chief economist, expects some growth in equipment purchases, driven by drilling for Oil and gas, transportation, manufacturing and other work, but he also expects rental companies will be doing the bulk of the buying.
From the article:
Although analysts are expecting U.S. construction to rise next year, many believe contractors will continue to turn to rental and leasing companies rather than buy large quantities of new equipment for their projects. ...