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[BUSINESS] · Brazil · 2 sources

Brazil yellow‑line construction equipment sales to rise 4% by 2026 as JCB pledges R$500 M investment

A Sobratema market study projects Brazil’s yellow‑line construction equipment sales will grow 4% in 2026, reaching 35,843 units and a total of 58,611 equipment units across categories such as excavators, cranes and concrete machines. The forecast cites a cautious second‑half of the year, high interest rates and tighter credit, with the Selic expected around 13.75%.

JCB, the British maker of construction machinery, announced a R$500 million five‑year investment to adapt its product line for Brazil’s agribusiness sector and target a 20% sales increase by 2026. The plan includes a new generation of fuel‑efficient backhoes that cut consumption by up to 20%, and an expansion of telescopic handler sales from 50 to 120 units. In 2025 the company supplied roughly 600 machines, mainly backhoes and wheel loaders produced at its Sorocaba plant.

Industry voices highlighted the impact of monetary policy: Claudio Schmidt, coordinator of the Sobratema study, said the first half confirmed a “consistent market,” while Rafael Murrer of Banco Bradesco warned that high rates “slow economic growth and tighten credit.” JCB Latin America president Adriano Merigli noted a 25% conversion rate at field demonstrations.

Entities

Adriano Merigli · Claudio Schmidt · JCB · Rafael Murrer · Sobratema