Global Underground Mining Equipments Market - 2023-2030

Global Underground Mining Equipments Market - 2023-2030

Global Underground Mining Equipment Market reached US$ 15.5 billion in 2022 and is expected to reach US$ 19.0 billion by 2030, growing with a CAGR of 2.6% during the forecast period 2023-2030.

The demand for underground mining equipment varies across regions depending on the availability and type of mineral deposits, mining regulations and economic conditions. Countries with significant mineral resources, such as Australia, Canada, U.S. and parts of Europe, have a strong demand for underground mining equipment.

The room and pillar mining segment holds more than 2/3rd share in the market and room and pillar mining is suitable for deposits that are thick and relatively flat, making it an efficient method for extracting coal and other minerals from such deposits. The presence of significant reserves of coal in these types of deposits drives the demand for room and pillar mining equipment.

Market Dynamics

Rising Demand for Reserves and Government Initiation

There is an increasing focus on identifying and exploiting deposits in diverse places as the demand for minerals and resources continues to rise on a worldwide scale. Due to the need for equipment built particularly for efficient extraction in difficult subterranean conditions, underground mining equipment is in high demand. The demand for minerals and resources may be increased by government programs focused on developing infrastructure, such as power generation and transportation systems.

The extraction and delivery of these minerals to fund infrastructure initiatives increases the demand for underground mining equipment. Governments significantly encourage the expansion of the mining industry by enacting programs and regulations that support resource development, mining operations and exploration. Incentives, tax breaks and regulatory frameworks that promote investment in the mining industry are included in this.

New mining projects are made possible by governments that allow private and international investment in their mining industries. The expansion of underground mines and increased exploratory operations that follow fuel the need for mining equipment.

Increasing Usage of Hard Metal in Smart Devices and Expanding Underground Mining

The demand for diverse minerals and resources is being driven by the growing global population and industrial growth. Deeper and more valuable mineral resources may be reached by underground mining, which is frequently not possible using surface mining techniques. Underground mining activities are expanding as a result of the increasing demand for minerals including coal, precious metals, base metals and industrial minerals.

Furthermore, Technological underground mining equipment is required because of the growth of underground mining activities and the rising demand for minerals and resources. Mining corporations purchase these pieces of equipment to increase productivity, protect workers and maximize resource extraction. In order to satisfy the expanding demands of the industry, the underground mining equipment market is still developing and increasing.

Unavailability of Skilled Labor

The advanced devices and equipment used in underground mining operations require specialized and highly qualified personnel to operate and maintain. Drilling rig management, ventilation system management, handling mining equipment and ensuring safety regulations are all duties requiring skilled labor. Working in difficult conditions, while dealing with dust, noise and perhaps dangerous circumstances, is a part of underground mining.

According to a report by the Mining Industry Human Resources Council (MiHR) in Canada, the mining industry is expected to face a shortage of approximately 47,000 workers by 2029, including skilled trades and engineering occupations. The mining industry competes for skilled labor with industries like engineering, construction and oil and gas. In the mining industry, it may be difficult to find and keep talented people owing to a lack of competition.

COVID-19 Impact Analysis

The underground mining business has been impacted by the COVID-19 pandemic. All activities were halted worldwide due to the lockdown and social isolation rules. Due to a lack of machinery operators, underground mining was also stopped. Worldwide quarries were closed as a result of the global shutdown while processing facilities halted operations as a result of the lack of transportation systems.

The pandemic is having a particularly negative impact on the underground mining equipment sector. But since the coal, metals and minerals industries have also grown, the demand for underground mining equipment has recovered and the future of the business is bright.

Segment Analysis

The global underground mining equipment market is segmented based on product, mining method, application and region.

Rising Demand For Coal Mining Application

The coal mining segment holds more than 26.7% share of the global underground mining equipment market. Coal continues to be a significant source of energy for power generation in many countries. The need for coal to meet the growing energy demand, particularly in developing economies, is expected to drive the coal mining sector and subsequently increase the demand for underground mining equipment.

Additionally, Demand for coal has risen significantly in countries that have significant coal reserves, such as Malaysia, the Philippines and Vietnam. According to the Philippine Department of Energy, as of 2016, there were 85 small-scale coal mining operators, 50 coal operating contracts in the exploration phase and 30 coal operating contracts in the development and production phase.

Clean coal technology reduces pollutants and is considered to be one of the market-driving reasons. The underground mining equipment market's use in the global need for coal for power generation will boost the coal mining sector.

Geographical Analysis

Europe's Growing Mining Industry

Europe has significant mineral resources, including coal, copper, lead and various industrial minerals. The demand for these resources, both domestically and globally, drives the need for underground mining operations and equipment. Europe is known for placing a high priority on research and development. The Horizon 2020 program, which allotted around €20 million for mining projects in 2020, is European Commission that has been investing in research initiatives connected to mining technology innovation.

Furthermore, In Europe, the generation of energy has been changing from coal to cleaner, renewable sources. Eurostat reports that the proportion of coal in the European Union's total inland energy consumption fell from 24% in 2009 to 13% in 2019. Both infrastructural growth and urbanization have been substantial in Europe. In 2019, the European Union spent more than €200 billion on infrastructure projects, which increased demand for minerals and building materials.

Competitive Landscape

The major global players include Caterpillar Inc., Komatsu Ltd., Sandvik AB, Epiroc AB, Hitachi Construction Machinery Co., Ltd., Boart Longyear Ltd., FLSmidth & Co. A/S, Liebherr Group, SANY Group Co., Ltd and Normet Group.

Why Purchase the Report?
• To visualize the global underground mining equipment market segmentation based on product, mining method, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of underground mining equipment market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global underground mining equipment market report would provide approximately 61 tables, 63 figures and 181 Pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies