With Aptella’s expanding global footprint and the growth of our operations into Southeast Asia, UK and Europe, New Zealand, it is timely to reflect on the global construction laser market, from both a recent historic viewpoint and future trends that may influence the market.
According to US based company, Global Market Insights, the construction laser market was valued and over $2.5 billion USD in 2022 and is anticipated to grow at compound annual growth rate over 4% between 2023 and 2032.
The industry includes all types of laser levels and ancillary measuring devices including GPS receivers, machine control and leveling equipment for civil contractors and all types of levels for construction trades. The highest percentage of leveling equipment is the rotary laser level and the line laser level which makes up 70% of the total market.
Shipments of rotary laser levels in 2022 exceeded 5 million units.
In the last four years the industry, like similar technology and manufacturing based industries suffered a negative or declining growth market due to the effect of the COVID19 pandemic globally. As in most industries, there was significant supply chain disruption, inflated material costs caused by interest rate rises and site delays. Many infrastructure and residential building projects were delayed or scrapped and there was a skilled labour shortage in developing markets globally.
A weakening of demand, especially in China where most of the construction laser manufacturing is undertaken, had a negative impact on the output. A continuing soft domestic market in China will see limited growth or even possible decline in that market for the foreseeable future.
The last twelve months has seen a steady recovery and increase in activity and many governments, construction investors and the private sector have resumed building spend.
Due to demand, especially in developing countries such as India, the Middle East, Southeast Asia, Africa and parts of Latin America, infrastructure spend is expected to get a significant uptick in the next decade.
Whilst residential house building is subdued globally, in the US this is turning around quickly and the Home Improvement Research Institute USA is forecasting a 9.2% rise in contactor activity in 2024. In Europe where real estate investment is at a decade low it is expected that there will be a steady rebound due to stabilised pricing and assured material supply. However, it is anticipated that due to shrinking demographics the growth, whilst real, will be at a subdued pace.
Other developed markets such as Australia, New Zealand and Southeast Asia have underlying demand but have ongoing affordability issues. Fortunately, in most instances governments are sympathetic to finding solutions and addressing these challenges and expect to see these come out of the doldrums in the next couple of years.
Interest rates have had a significant impact globally on private sector residential spend and a reprieve in interest rate rises and the prosect of rate cuts as and when inflation slows, will be a positive driver for future residential construction growth globally.
Overall, there is a more optimistic view of the growth aspirations of the industry and new product development in the laser space, which had been put on hold, is starting to show up again and will flow on to consumers in the next 24 months.
With the resumption of international trade shows based around the construction industry, expect to see a steady increase in new technology being shown to the construction industry in the next few years.
Robotics, automation, artificial intelligence and ever increasing developments in communication, positioning, data processing and software development are developing rapidly with multiple applications and benefits for the construction sector. Green beam laser technology, GNSS, machine control and more efficient power sourcing such as lithium batteries continue to enhance day-to-day productivity on job sites.
As has been the case in the past decade we expect to see further developments centred around greater accuracy and better efficiency. With labour costs high and demand for build quality at a premium the laser level industry continues to strive to be at the forefront of time saving and accuracy and this is witnessed in the vast number of tasks that levels such as multi-line lasers and electronic grade lasers are able to perform that were once done laboriously with conventional manual levelling devices.
Expect, in the whole of the construction tool industry including levelling and measuring equipment, product developments centred around greater productivity and time efficiency.
Another trend will be tools that are multi-use; such as the same battery platforms used on a variety of tools; levels that perform multiple tasks and with simplified operational features.
Aptella will continue to be a leader in the field of accurate and efficient technology and we pride ourselves on Solution Ready automation and positioning systems that continue to support the construction industry.
We source, deploy and support intelligent positioning solutions to enhance our customers’ productivity.
Aptella Pty Ltd
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