Philippe Cohet speaking at ITC 2015.

Philippe Cohet speaking at ITC 2015.

Philippe Cohet, Arcomet executive chairman, used his keynote speech at the 2015 International Tower Cranes (ITC) conference to warn that the tower crane sector faces challenges of continued low prices and overcapacity.

Cohet said the industry was fortunate in having a product that is so important for projects – in terms of productivity and safety – but that this status was not recognised in terms of rental prices. “Compared to other industries, tower crane rental is in a specific situation, with one of the lowest rental versus buy price rates. That is a big problem for a product that is so important.

“We still have today an overcapacity situation in Europe, and it is impacting and even destroying rental prices.”

Cohet said rental companies needed to continue to expand the range of services they provide and that mergers and acquisitions in the rental sector might be one of the ways for the sector to strengthen its offering, and attract financing for fleet renewal.

“Tower cranes are a great product… working together along the supply chain I believe we will be able to restore the prestige of the industry.”

The conference, organised by KHL Group and International Cranes and Specialized Transport magazine, opened on 28 May in London, attended by more than 200 delegates.

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