The construction and agricultural equipment space is expected to experience moderate growth in the North American segment and moderate-to-strong growth in the European segment until 2030. Investments in residential, urban, and transportation infrastructure will drive sales of compact construction equipment, while the consolidation of farms (both in North America and Europe) will drive demand for higher HP tractors. Though wheeled undercarriage systems dominate the industry, tracked units are expected to grow at a compound annual growth rate (CAGR, 2024-2030) of 4.2% and 3.2% in the North American and European off-highway equipment transmission components segments, respectively.

• What impact will operator or end-customer requirements for compact equipment in a wide range of operations, such as utility, industrial, agriculture, and landscaping and green spaces, have on the demand for auxiliary systems?
• How will the growing need for multiple attachment types in compact equipment drive the demand for hydraulic units for auxiliary systems and create new growth avenues?
• What are the new partnerships between OEMs and transmission component suppliers influenced by supply chain challenges, evolving customer behavior, and ongoing trade wars?