The equipment rental business is growing in an unlikely global market: China. Softening construction demand is forcing Chinese construction firms to gradually shed their traditional preference for owning equipment.
Similar trends have been in the works in the United States and other countries in recent years. “Contractors disposed of a lot of equipment during the recession and now, rather than buying new machines, are using rental equipment because of short-term needs, tight budgets and the lack of longer-term projects,” says Chuck Yengst, an equipment market analyst in Wilton, Conn.