Volatile prices of commodities or raw materials is the major trend observed in the last few years, according to Grand View Research. The mining equipment market is also expected to witness the impact of this unpredictability.
Many companies from the mining industry are focusing on viable ways for business consolidations, Grand View added.
The traditionally risk averse and in fact, staid business of mining has been witnessing financial rollercoasters over the past few years due to the rapid rise of digitisation.
Adoption of the advanced technologies is one of the primary moves opted by market players to stay ahead of the game when it comes to the global competition.
The prices of mining equipment or machinery are expected to witness a steady rise in the near future as the industry is increasingly adopting smart technology.
Grand View’s mining equipment trends
The companies operating in the mining equipment market are figuring out ways to thrive in an industry prone to witnessing steep rises and falls.
It is vital for the companies to capitalise on new business opportunities with the help of advanced technology and unconventional business plans.
The advent of automation and smart technology is anticipated to present them with the opportunities to expand their business on global scale.
Rise in exploration capabilities with the use of advanced technologies like 3D mapping, x-ray diffraction, sensor-based sorting, Internet of Things (IoT), and underground mobile miners among others may widen the scope of business for companies.
Here are a few of the top trends:
Digitisation and automation
Automation of manual mining tasks plays a vital role for easy day-to-day operations in mining industry.
Digital mining means reduced labour intensity and increased automation across the value chain. The primary task for the companies in the mining equipment market is redesigning the existing workforce and inclusion of advanced machinery.
Introduction to smart mining solutions and connected mining is the futuristic concept that has got the key players excited.
Investment in advanced technologies translates into gaining greater value for the clients by creating real-time connection between mining equipment, workforce, business processes, and changing environmental conditions.
Worker safety and health
Worker safety and health holds precedence for the companies operating in the mining equipment market, owing to stringent government regulations regarding underground mining operations.
The deeper the mine, the greater the risks associated with worker safety. Hence, there has been a steady rise in the adoption of advanced mining machinery or equipment.
The modern mining and oilfield equipment is mostly automated, making it easy for the mine operators to adopt rigorous worker safety and health standards.
Availability of communication devices in operational conditions makes a world of difference for miners. Alarm systems, ventilation devices, evacuation plans, and personal protective equipment like protective clothing and other gears are anticipated to reduce the risk factor involved with mining.
Robotics is becoming more and more collaborative, mobile, and technologically advanced. This has brought robotic technology to automate tasks that were previously unattainable.
The industry is adopting advanced mining equipment like self-driving ore trucks and robotic mining drills and assistants, with the aim to make mining a man-less job.
Technological advancement and rising research and development activities are anticipated to reduce the cost of robotics. This trend is projected to drive the market in near future.
Rising awareness regarding environment and adverse effects of mining are expected to push the mining equipment market to look for electric vehicles as the eco-friendly option.
Companies like Caterpillar have taken the lead with the introduction of underground electric load, haul, and dump (LHD) machine.
Overview of the mining equipment market
According to Grand View, the global mining equipment market is expected to witness steady growth over the period of the next four to five years.
A surge in mining activities and adoption of advanced technologies are anticipated to propel market expansion through 2025.
Adoption of wearable technology, drones, automated vehicles, and robotics can create growth opportunities for the market players.
Some of the top companies operating in the market, including Sandvik, Atlas Copco, and Caterpillar, among others, are adopting strategies like collaborations and mergers and acquisitions to rediscover growth opportunities in the market.
Rising demand for natural resources is anticipated to present the mining equipment market with growth opportunities across Middle East, Africa and Latin America.
Asia Pacific, on the other hand, is projected to emerge as the dominating regional market for mining machinery. The region is projected to hold majority of the market share due to robust economic growth in India, Australia and China.
Government efforts for consolidation of mining business can further propel this regional growth in near future.
Use of coal in electricity production is expected to impel the demand for coal exploration equipment. This factor is anticipated to positively influence the prices of coal in the United States and drive the regional market for mining equipment.