WASHINGTON: Exports of US-made construction equipment decreased 25 percent overall for the first three quarters of 2016 compared to 2015, exporting $8.2 billion, according to the Association of Equipment Manufacturers.
Exports to all regions declined, ranging from single-digit slides for Europe and Central America to declines in the 50-percent range to Africa and South America, AEM said, citing US Department of Commerce data.
Starting with Canada, the US’ largest trading partner, exports plummeted 21 percent for a total $3.5 billion.
Exports to Europe slipped 6 percent to $1.2 billion, while exports to Central America dropped 9 percent to $1 billion. Exports to Asia dropped 30 percent to $972 million; to South America exports plunged 49 percent to $733 million. To Australia/Oceania, exports declined 36 percent to $427 million, and exports to Africa plunged 51 percent to $317 million.
“For the past 15 quarters, US exports of construction equipment declined year over year and in the third quarter of 2016, that trend remains unchanged,” said Benjamin Duyck, director of market intelligence. “A key factor affecting the reduction in exports is most likely due to the strong dollar making US manufacturers less competitive in the global marketplace. Of course, the strong currency is a problem that plagues all US exports. Some international markets are still viable; exports are up year over year to Belgium and Germany, for example.” Duyck added that AEM’s expectations remain subdued with the US dollar continuing to be strong.
