Photo courtesy of Komatsu.
Exports of U.S.-made construction equipment declined 25 percent overall for the first quarter of 2016 compared with the first quarter of 2015, reports the Association of Equipment Manufacturers (AEM), citing U.S. Department of Commerce data.
The total amount of U.S.-made construction equipment exports in the first quarter was $2.7 billion.
According to Benjamin Duyck, director of market intelligence at AEM, the first quarter represents the 13th consecutive quarter that U.S. construction equipment exports experienced year-over-year declines. The continued downturn in exports is linked to the strong U.S. dollar, reducing the nation’s competitiveness by making U.S. equipment relatively more expensive, he says.
The most impactful decreases in exports occurred in the earthmoving equipment segment, Duyck adds. That segment decreased by about 35 percent.
Africa and South America experienced the sharpest first-quarter declines, as those markets dropped 49 and 47 percent respectively, AEM says. U.S. construction equipment exports to Asia also fell 37 percent while exports to Canada and Australia/Oceania dropped 28 and 10 percent, respectively. Exports to Central America remained stable, declining just 1 percent.
Only Europe experienced gains in U.S. construction equipment exports at 5 percent.