Q&A: Discussing the Expansive Mini Excavator Market with Takeuchi’s Lee Padgett

Mini excavators are great for digging holes, utility trenches, pool work, graves, whatever. Just wave in a mini or compact excavator (same thing), and you can get that hole dug right quick. Mini excavators are also great tool carriers, wielding breakers, grapples, compaction plates, augers, mowers and more. These long-armed attachment-takers can easily fit into congested or open-space environments and spearhead a variety of operations from building retaining walls for landscaping to tearing down walls in indoor demo.

In summary, mini or compact excavators (same thing) are great diggers and great attachment-takers, easy to trailer and easy to fit into constrained worksites. This category of compact equipment is one of the most popular in all of off-highway equipment right now, so we took the opportunity to talk with Lee Padgett, product manager at Takeuchi-US, about this expansive market. Read on to see what Padgett had to say about the mini ex market and Takeuchi’s extensive line of machines.

Compact Equipment: Lee, thanks so much for taking the time to talk to Compact Equipment. We’re big fans of the Takeuchi brand. Maybe we can start off our discussion on mini excavators by talking about how many units Takeuchi offers today?

Caldwell: Takeuchi currently manufactures 18 different compact excavators for distribution throughout North America — 19 if we count the launch the TB395W at the end of this month. Those models range from the very compact TB210R, which weighs in at just 2,535 lbs to our largest model, the TB2150R, which in a cab configuration weighs 34,435 lbs.

All Takeuchi excavators are rugged, dependable and productive. They provide exceptional value, demonstrate outstanding performance, and are measured by their longevity in the field. Our excavator range is designed to cover a wide range of applications, from working in the most confined spaces with limited access to more demanding applications that require greater power and working range. We also introduced our first electric model, the TB20e, in 2022 and made it available to Takeuchi dealers throughout the United States in 2023. Other newer models include the TB335R, Takeuchi’s first short tail swing offering in the 3.5-metric-ton class, and the TB350R, a short tail swing model in the 5-metric-ton class.

If you had to pick one or two big differentiators in your mini excavator product offerings, what would it be? A one-of-a-kind undercarriage? Unique standard features? The biggest selection? Pick something and briefly explain it.  

Takeuchi was one of the first companies to introduce compact excavators to the North American market, setting the stage for one of the fastest growing product segments ever released in the compact construction equipment industry. We’ve been innovating, designing and building these machines as long as anyone, so we know what works and what owners and operators are looking for.

Our FR Series, the TB257FR and TB280FR, are unique within the industry, featuring a patented side-to-side boom configuration combined with a tight tail swing for unmatched visibility to the work equipment and the ability to rotate fully with very little overhang. Both models are ideal for working in urban areas, road and bridge construction and other areas with limited space.

Takeuchi offers the Takeuchi Fleet Management (TFM) telematics system on most excavator models. This remote monitoring tool utilizes real-time machine data to better manage your fleet and keep costs down with alerts about performance, hours, maintenance, health and more. TFM is free of charge during the initial warranty period with extension plans available at local dealerships.

Takeuchi has also taken the lead in more sustainable excavator options with the battery powered TB20e and the hybrid TB216H. The TB216H’s performance is identical whether using the diesel engine or the electric motor, and the controls are the same regardless of operating mode. The TB20e is a zero-emission and low-noise-level compact excavator with the same performance features and capabilities as diesel-powered machines in the same class. Both models are ideal for use in areas that have both noise and emissions restrictions such as in and around schools, neighborhoods, hospitals and municipalities. 

What is your most popular compact excavator overall? Let’s say mini stops at 8 metric tons. What’s your most popular unit for rental applications?

For both the rental industry and industry overall, our most popular models are the TB235-2, TB335R and the TB240, all in the 3- to 4-metric-ton class. These excavators are easy to transport, feature long arms for greater working range, spacious operator’s stations and low-effort pilot controls. We give customers the option for a machine with a conventional design (TB235-2 and TB240) or a short tail swing design (TB335R). The TB240 also gives them more power and capability in that same class.

The 5- to 6-ton class is our second-most popular category due to its increased capability and performance versus our smaller excavators, while remaining compact in size. Takeuchi currently has four machines in this class: TB250-2, TB257FR, TB260 and TB350R.

In your opinion, what technologies are pushing the small excavator market to evolve? Electric, attachments, telematics, automation like grade control? Briefly explain if you can.

Because the world’s increased emphasis on sustainability and environmental stewardship isn’t going away anytime soon, we see battery-powered and hybrid compact excavators continuing to trend in the equipment industry. Still, diesel-powered machines have their place. Owners and operators are beginning to get their hands on electric models and experience their power and performance for themselves. Electric and hybrid compact excavators have unique features and benefits that make them attractive for purchase or rental. They’re a great solution for customers who are trying to be more sustainable or need to work in more sensitive areas with emissions and or noise restrictions.,

Today’s compact excavators continue to offer increased hydraulic flows, making them compatible with more attachments. At one time, compact excavators were seen as simply digging machines, but now, customers can use them for many different tasks, much like a skid steer or compact track loader. This trend is positively impacting compact excavator sales because owners can get a greater ROI from their purchase.

Due to customer demand and preferences, some of the larger compact excavators in our lineup — from 5 to 9 metric tons — now sport a broader feature set that may include more standard auxiliary circuits. Rather than only offering the primary circuit as standard equipment, manufacturers are starting to include the second auxiliary circuit, and, in some cases, a third auxiliary circuit, further expanding the excavator’s capability and versatility.  

Wheeled excavators have long been popular in Europe, and we’re now seeing them become more popular in North America. Wheeled models are great for urban areas because they can move more quickly on paved streets from job site to jobsite. Takeuchi introduced the TB395W wheeled excavator to international markets in 2023, and we’ll be bringing it to North America this July.

Finally, the fact that a comfortable operator is more productive has led many manufacturers, including Takeuchi, to introduce more comfort features on their compact excavators, including larger cabins with more features, such as heat/AC, AM/FM/Bluetooth radio, multi-function color monitors, touch controls/monitors, jog dials and USB ports/12v outlets.

I hate to be the bearer of bad news, but sometimes you can’t have it all… unless you rent. From finding the right dealer to scoring the perfect rental machine, we have you covered!

How many compact excavators do you think were sold in North America in 2023? How does that compare to 2022? What are your predictions for 2024?

The compact excavator market was comprised of over 81,0000 units in 2023, an increase of approximately 2 percent over 2022. For 2024, that growth rate should continue or even exceed 2 percent. This anticipated growth is due to many factors, including government initiatives and investments in infrastructure projects, such as road construction, bridge building and utility upgrades. Compact excavators are essential for these projects due to their versatility and ability to work in various conditions and for their smaller size that allows them to fit in urban areas where much of the infrastructure work takes place. 

What growth markets do you see for compact excavators in North America? What declining markets do you see?

I believe that we’ll continue to see more models available with robust features that combine power with precision. I think we’ll also see more electric machines available in a greater range of sizes as manufacturers continue to refine their use of battery technology, helping these excavators work longer hours without sacrificing power and performance. And more contractors will turn to these electric models as their customers request a more sustainable, environmentally friendly approach to their projects. Many compact excavators are sold in the landscaping and construction/utility sectors, and I expect that trend to continue.

What is the most popular size class of compact excavators today? Why? What are the most popular options? Thumbs? Enclosed cabs? Lighting?

For us, the 3- to 4-metric-ton and 5- to 6-metric-ton classes continue to be our most popular. I’m not sure if that’s true for other manufacturers, but for us, these machines seem to hit a sweet spot by combining smaller size with higher horsepower, greater working ranges, more capable auxiliary hydraulics, and powerful digging forces and lifting capacities. They’re still compact enough to fit in confined urban spaces, but they’re large enough to handle tougher, more demanding jobs. It’s difficult to pinpoint a single most popular option on these machines, but in general, we’ve seen owners and operators look for greater performance due to their increased power, improved comfort on the job due to the improvements of the operator’s stations with  climate control, deluxe seating  and other features like multifunction color monitors, one touch controls for a variety of machine functions AM/FM Bluetooth stereos and USB outlets. We also offer LED lighting on most of our excavator lineup.

What do you feel are the latest trends in hydraulics and attachments for mini excavators? New more powerful attachments? Automated operator settings? Grade control? Rotating buckets and grapples?

Compact excavators now have increased hydraulic flows, enabling them to use a broader range of attachments. As a result, customers are realizing how versatile these machines are, and they’re finding more ways to use them. This trend will continue into the foreseeable future.

Due to customer demand and preferences, some of the larger compact excavators — from 5 to 9 metric tons — now sport a broader feature set that may include more standard auxiliary circuits. Rather than only offering the primary circuit as standard equipment, manufacturers are starting to include the second auxiliary circuit, and, in some cases, a third auxiliary circuit, further expanding the excavator’s capability and versatility.  

Attachment popularity depends on the application. Equipping the excavator with a bucket and thumb combo allows operators to easily clean up and load out trash and debris on a jobsite. They can also use the bucket/thumb combo to pick up and place heavy objects, such as stones and pavers, that may be used to build a landscape or hardscape feature.

Outfitting the machine with a mower or mulcher makes it possible to clear unwanted brush, small trees and undergrowth; clean up around ponds; and keep paths and roads clear of overhanging branches. Grapples are ideal for picking and placing heavy objects like stones or railroad ties, or for cleaning up debris like limbs or logs.

Tiltrotators have become increasingly popular attachments for mini excavators. A tiltrotator’s ability to tilt 50 degrees right and left as well as rotating 360 degrees allows the operator to work in any direction without having to reposition the machine. Additional options like a hydraulic coupler, hydraulic gripper and attachment quick-change systems can drastically reduce the number of workers needed on site to complete the same task. Having fewer workers on site cuts down on overhead and avoids potential safety concerns.

A tiltrotator’s hydraulic coupler makes attachment changes quick and easy, and you can even add a hydraulic exchange system, so operators don’t have to leave the cab to hook up hoses. Add to that the ability to match a tiltrotator with a grade control system, and you can also get all the accuracy of a 3D grading control option, allowing operators to quickly perform tasks without having to manually control the machine or calculate the slope or grade. 

What advice would you give to a contractor looking to rent or buy a compact excavator? How should a potential operator evaluate size, application, attachments, brand and price?

It is important for buyers to consider what they can afford, first and foremost. Buyers also need to think about the machine’s cost of ownership and what attachments they’ll need to buy to ensure they can get their work done. If you’re investing in a machine, you need to ensure it can “grow” with you as you enhance your service offering.

For someone considering renting a machine, it’s more about matching the compact excavator to the task at hand. Rent a machine that’s too small, and it’s going to take longer to get the job done. Rent one that’s too big or powerful, and you’ll be using more fuel to operate it than you would if you got a smaller machine that could do the same job.

Other important considerations — whether you’re renting or buying — include:

• Size and weight. If you’re doing smaller-scale jobs, a machine from 2.5 to 3.5 metric tons may your best bet because they’ll fit in those confined spaces easily. If you’re working in larger residential areas or performing commercial work, a 5- to 9-metric-ton machine may be a better fit. Bigger machines will have greater working range and capability when lifting and placing objects and running hydraulically powered attachments. A retractable undercarriage can also be beneficial if you. need to access areas with very narrow entrances such as doorways and gated back yards.

• Current and future applications. It’s important to determine the type of work you’ll be doing onsite to ensure the machine is properly equipped for your needs. Customers are finding more and more uses for compact excavators, and these machines are now being treated more like a multitool. No longer are customers simply using a bucket and thumb; instead, they are finding ways to do a broader range of jobs smarter and more efficiently by using the many attachment options available today. A key consideration is to ensure that their excavators are the appropriate size and deliver adequate power to operate the attachments they need to use for their applications.

• Comfort. A comfortable operator is a productive operator. Consider the size of the operator’s station, how it is appointed and designed. Does it have a flat floor area with ample leg/foot space? Is there enough space between the joysticks so they do not contact the operator’s legs, limiting their stroke?  How intuitive are the controls and monitor panel? Can multiple attachment presets and flow rates be set from the cabin? Does the seat provide ample adjustments (fore/aft, weight, height)? If you know you’ll be working all year round, you may want to make the additional investment in a cab unit with heat and air conditioning.

• Safety. It is critical to understand the attachments you’ll be using and the risks associated with them. For example, if the machine is going to be equipped with a breaker, a cab machine would provide the operator with greater protection than a canopy. The same would apply if using a mower or mulcher. A polycarbonate front glass/or window guard is important to enhance and improve the operator’s peace of mind during operation.
  • If the machine will be used to remove trees and other materials that could fall on top of the cabin, it would be a good idea to add front window guards and Level II OPG protection.  
  • Operators working in congested areas where there may be more foot or vehicular traffic should consider a rearview camera, especially on larger excavators where it would be more difficult to see around the rear of the machine. 
  • Ensure that the travel alarm is operating properly on the machine to alert people around the machine that it is moving.

• Brand and price. Choose an excavator from a brand known for quality equipment and excellent dealer/customer support. The least expensive machine is not necessarily the right machine, nor is the most expensive machine. It’s all about finding the machine that fits your needs and has a reputation built on years of durability, reliability and performance.

Awesome info, Lee. We really appreciate you taking the time to talk to Compact Equipment. For more info on Takeuchi visit www.takeuchi-us.com.

Keith Gribbins is publisher of Compact Equipment.