Construction Machinery Manufacturers NAICS 333120

Jul 7, 2026 - Backhoes Lose Market Share

• Equipment World reports that backhoe loaders have lost market share as compact track loaders and mini excavators have gained favor, with many contractors able to buy both machines for about the price of one backhoe. Still, backhoes remain popular for roadwork, site development, drainage, municipal work, and other jobs where one machine can dig, load, lift, travel between sites at more than 20 mph, and reduce the need for extra equipment and operators. Across brands, common features include easier attachment changes, extendable arms, stronger hydraulics, improved cabs, better visibility, telematics, rear cameras, automatic transmissions, and fuel-saving systems. Attachments such as hammers, brooms, snowplows, compactors, forks, and buckets also help backhoes stay useful as contractors manage tight labor conditions and seek versatile machines.
• Construction industry confidence held steady in the second quarter, with Engineering News-Record's (ENR) Construction Industry Confidence Index remaining at 54 and its Economic Index staying at 48 for a third consecutive quarter. Index readings of 50 or more suggest a healthy industry. Executives reported weaker views of the current market but slightly improved expectations for the next 12 to 18 months. General contractors and construction managers were the most confident, while design firms improved and subcontractors slipped. Larger firms remained more optimistic than smaller ones. More than 75% of ENR respondents reported upward price pressure. Industry watchers suggest inflation, higher rate expectations, and materials costs are weighing on contractors, though strong demand, especially for data centers, continues to support the market.

• The total value of US construction put in place rose 0.1% in May 2026 compared to the prior month, according to the US Census Bureau. In the nonresidential buildings segment, growth was led by amusement and recreation, which grew 0.9%, while overall investment in private nonresidential structures declined 0.3% in May from April. Spending on healthcare and educational projects each rose by 0.3% in May, while office spending increased by 0.2%. Construction spending on commercial projects fell 0.3%, and lodging spending fell 0.2%. Total residential construction spending increased 0.4% in May. Infrastructure spending was led by a 1.4% rise in conservation and development projects, followed by highway and street (+0.6%) and sewage and waste disposal (+0.3%).
• Demand for building design services declined in May 2026 over the prior month, as architectural billings remain soft, according to a June report by the American Institute of Architects (AIA). The AIA’s Architecture Billing Index (ABI) fell to 44.5 in May from April's reading of 48.3. Any reading of 50 or more indicates growth in architectural billings. The score for new project inquiries fell to 49.4 in May, down from 57.7 in April, and the index for the value of new design contracts decreased from 48.0 to 45.0. The AIA’s Chief Economist, Richard Branch said, "The uncertainty created by the Iran conflict, and substantially higher energy costs, weighed on architect billings in May. Higher interest rates, rapidly rising material costs, and continued labor shortages all contributed to softer demand."