Last Year’s Fading Trade Numbers

Last year was a tough one. And although we don’t like to dwell on the past, it should be noted that U.S. construction equipment exports dropped more than 38 percent in 2009 compared to the previous year for a total $12.8 billion worth of machinery shipped to other nations, with declines of between nearly 30 to 50 percent for major world regions. South and Central America as well as Asia were among the regions experiencing the smallest 2009 yearly declines.

The good news is that overall, quarter-to-quarter declines steadily improved, ending with a fourth-quarter 2009 gain of 26 percent over the third quarter, according to the Association of Equipment Manufacturers (AEM). The AEM trade group consolidates U.S. Commerce Department data for off-road equipment with other sources into quarterly export trend reports.

“Exports have literally been a lifeline for the construction equipment industry, which saw U.S. business plummet more than 40 percent last year and unemployment soar to more than double the national average,” stated AEM president Dennis Slater. “Global trade has been a significant source of industry expansion in recent years, and many economies are now rebounding faster than the U.S.”

Export sales to South America declined 29 percent in 2009 for a total of $2.4 billion compared to 2008. Central America took delivery of $1.3 billion worth of U.S. construction equipment, a 34-percent decrease and exports to Asia dropped 35 percent in 2009, for a total of $2 billion. Export business to Europe declined 51 percent to $1.5 billion in 2009, and construction machinery exports to Canada dropped 41 percent for a total of $3.7 billion. Africa recorded purchases of $986 million worth of U.S. construction equipment, a drop of 29 percent, while exports to Australia/Oceania decreased 46 percent to $962 million for 2009.