Affected by sluggish global economic recovery, sluggish commodity prices, geopolitical tensions, continued sanctions imposed by the West and the devaluation of domestic currencies, the construction machinery market in Russia has been shrinking in recent years. The market size in 2016 was 17.63 billion U.S. dollars, down 1.8% year-on-year, but the decline With a marked narrowing over the previous two years. With the gradual recovery of the Russian economy and the downward inflation in 2017, demand is also expected to rebound, pushing the market to expand by 3.4% to US $ 18.23 billion and is expected to maintain a moderate recovery in the next few years.
However, at the same time, the Russian construction machinery market is still under pressure to recover. On the one hand, Russia's economic situation is still hard to get rid of over-cooling in investment and consumer markets temporarily. The Western sanctions and anti-sanctions measures implemented by Russia will continue to drag down economic growth. In recent years, Russia's mining and construction industry performed poorly. In particular, the construction industry suffered from the predicament of 2015 and the market is unlikely to see a significant improvement in the short term. However, the continued strength of the U.S. dollar will lead to a rise in the prices of crude oil, industrial metals and other commodities to varying degrees, The passive pressure of domestic currency in markets and commodity exporters will have a negative impact on the scale and potential demand of the construction machinery market.