The American Rental Association (ARA) has revised its economic forecast for the U.S. and Canadian equipment rental industries. For 2024, the US rental industry is expected to see an 8.9% increase in revenue, totaling $78.7 billion. This is a slight decrease from the previous quarter’s projection of a 9.7% increase and $79.2 billion total. Growth for 2025 is projected at 5.3%.
Construction and industrial equipment (CIE) rentals are forecasted to generate $62.3 billion, while general tool rentals are expected to reach $16.4 billion.
“While the rental industry and opportunities continue to expand, we are experiencing softer growth,” Tom Doyle, ARA vice president of program development, said. “The ARA quarterly survey results confirm this softening.”
In Canada, equipment rental revenue is projected to grow by 6.6% to $5.75 billion in 2024, down from last quarter’s 7.2% growth estimate. General tool rental revenue is expected to reach $1.08 billion, with CIE rentals at $4.67 billion.
“What we’re seeing across our markets is pretty slow, but Stephenson’s is still growing,” Rob Wilson, chief operating officer of Stephenson’s Rental Services, said. “It’s a mixed bag. Residential activity represents 60% to 65% of those markets and that activity is down.”
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