In good repair: Growing demand from downstream markets will sustain revenue growth

The Machinery Maintenance and Heavy Equipment Repair Services industry slightly contracted over the five years to 2018, as key downstream markets, including the energy, mining and construction sector, have not performed strongly during this period. Moreover, declines in global commodity prices reduce demand from energy and mining markets. Over the five years to 2023, industry revenue is forecast to increase. Improvements in downstream markets and steady manufacturing output are anticipated to drive demand for industry services. Moreover, slightly increasing commodity prices will drive maintenance and repair demand from key energy and mining markets. Nevertheless, industry participation will likely remain subdued as some markets experience a degree of saturation...read more.

Industry Statistics & Market Size
Revenue
$10bn
Annual Growth 13-18
-1.5%
Forecast Growth 18-23
Profit
Employment
62,226
Businesses
16,436
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Continued improvements in downstream markets will boost industry performance
  • The elimination of less profitable operators has boosted the industry’s average profit margin
  • Industrial activity and demand from key downstream markets will benefit industry operators
  • Industry Report - Industry Analysis Chapter

    Volatile industrial capacity utilization and declining demand from the energy and mining sectors have led to a slight contraction for the Machinery Maintenance and Heavy Equipment Repair Services industry in Canada over the past five years. Over the five years to 2018, industry revenue is anticipated to decrease slightly at an annualized rate of 1.5% to $10.0 billion. The industry’s average profit margin has also declined, largely due to lower demand for repair and maintenance services, as purchase costs have remained fairly stable due to decreases in the world price of steel.Nevertheless, rising Canadian consumer spending and manufacturing activity, as well as increased demand from the commodity sectors, will propel 1.3% projected revenue growth in 2018. Mor...purchase to read more.

    Additional Insights for the Machinery Maintenance & Heavy Equipment Repair Services Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Machinery Maintenance & Heavy Equipment Repair Services Industry are

  • Having contracts within key markets
  • Proximity to key markets
  • Highly trained workforce
  • IBISWorld analysts also discuss how external factors such as Industrial capacity utilization and Demand from oil drilling and gas extraction in the Machinery Maintenance & Heavy Equipment Repair Services industry impact industry performance..

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    What's in this report

    What is the Machinery Maintenance & Heavy Equipment Repair Services Industry?

    This industry offers maintenance and repair (M&R) services, such as blade sharpening and welding, for commercial, industrial, agricultural and other sectors that use heavy machinery and equipment. Automotive and electronic repairs are excluded from this industry.

    Industry Products
  • Industrial M&R
  • Commercial and service industries M&R
  • Agricultural, construction, mining and forestry M&R
  • Commercial refrigeration equipment M&R
  • Resale of merchandise
  • Industry Activities
  • Providing maintenance, repair and parts installation for industrial sector clients
  • Providing maintenance, repair and parts installation for commercial sector clients
  • Providing maintenance, repair and parts installation for service sector clients
  • Providing maintenance, repair and parts installation for agricultural sector clients
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Industrial capacity utilization
  • Demand from oil drilling and gas extraction
  • Consumer spending
  • Value of nonresidential construction

  • Current Performance
  • Downstream demand trends
  • Profit and labour pool characteristics
  • Increasing industry participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Industry structure
  • State of the domestic manufacturing sector
  • Table: Machinery Maintenance & Heavy Equipment Repair Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Machinery Maintenance & Heavy Equipment Repair Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Mining In Canada
  • Construction In Canada
  • Metalworking Machinery Manufacturing in Canada
  • Public Storage & Warehousing in Canada

  • Key Selling Industries
  • Gasoline & Petroleum Wholesaling in Canada
  • Wholesale Trade In Canada

  • Products & Services
  • Industrial M&R
  • Other
  • Commercial and service industries M&R
  • Agricultural, construction, mining and forestry M&R
  • Resale of merchandise
  • Commercial refrigeration equipment M&R
  • Chart: Machinery Maintenance & Heavy Equipment Repair Services Industry Products and Services Segmentation

  • Demand Determinants
  • Downstream activity
  • General maintenance and repair demand

  • Major Markets
  • Energy, mining and utilities
  • Retail, wholesale and warehousing
  • Manufacturing sector
  • Public sector and education
  • Other including hospitality and food services
  • Commercial and service sectors
  • Agricultural, forestry and fishing
  • Chart: Major Market Segmentation for the Machinery Maintenance & Heavy Equipment Repair Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther
  • Chart: Cost Structure Benchmarking – Sector vs Machinery Maintenance & Heavy Equipment Repair Services

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Machinery Maintenance & Heavy Equipment Repair Services Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Machinery Maintenance & Heavy Equipment Repair Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Machinery Maintenance & Heavy Equipment Repair Services Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Industrial capacity utilization (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    M?Ecanique Agricole
  • Agricultural mechanics program with the goal of training individuals to inspect, repair and replace defective parts for agricultural machinery.
  • Me?Canique D'engins De Chantier
  • Mechanical construction equipment program with the goal of training individuals to be capable of performing the work of preventative and corrective mechanics, among other services.
  • Red Seal
  • Certified heavy-duty equipment mechanics have the option of obtaining this seal, which enables them the flexibility to work in any province in Canada.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Machinery Maintenance & Heavy Equipment Repair Services market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Machinery Maintenance & Heavy Equipment Repair Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Machinery Maintenance & Heavy Equipment Repair Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Machinery Maintenance & Heavy Equipment Repair Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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