Commercial & Industrial Equipment Rental & Leasing
Companies in this industry rent and lease equipment to commercial and industrial entities for use in business operations. Major companies include AMECO, Herc Rentals, and United Rentals (all based in the US). Other companies include Aggreko, Ashtead Group, and Speedy Hire (all based in the UK), as well as Mitsubishi HC Capital and Tokyo Century Corporation (both based in Japan).
The global construction equipment rental market will grow to over $110 billion by 2028, according to Research and Markets. Robust growth areas include China, India, and Mexico, according to the Construction Equipment Rental Association.
The US commercial and industrial equipment rental and leasing industry includes about 16,000 establishments (single-location firms and units of multi-location firms) with combined annual revenue of more than $70 billion.
Competitive Landscape
Demand is driven by business and industrial activity, particularly in nonresidential construction. The profitability of individual companies depends on the merchandising mix and cost of financing rental inventory. Large companies have economies of scale in buying equipment and having multiple outlets to share equipment. Small companies can compete effectively by providing specialty products for a local market and by offering superior customer service. The US industry is concentrated: the 50 largest firms account for more than 55% of revenue.
Products, Operations & Technology
Major rental and leasing product categories are agricultural, construction, mining, and forestry equipment (30% of revenue); commercial and service industry
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