Peter Hingott, Bauer CEO (Image: Bauer)

And dichotomy may be the word in construction this year, as the entire industry is due to navigate what’s suddenly become a turbulent global landscape for the biggest industries.

Construction Briefing had the opportunity to sit down with Peter Hingott, CEO of Germany-based Bauer Group, a construction and machinery/systems OEM, for an exclusive interview from Bauer City � the company’s sprawling booth at Bauma.

There, Hingott unravelled the challenges posed by global (and strained) trade dynamics, but also looked ahead at the company’s strategic focus across various regions and highlighted advancements in equipment electrification and digitalisation.

Embracing the European market, shifting global priorities

While Bauma is a global trade fair, most expo years � understandably � have a deeper emphasis on the European market. So, it was not surprising that Hingott underscored the importance of European business, particularly in Bauer’s home region: the DACH countries of Germany, Austria, and Switzerland.

“This is still developing quite well,� he said. “It went well in 2024, and we had good sales at the beginning of 2025. And with this huge investment package the government of Germany released recently, we see that there can be improvement as well in Germany.�

Hingott was referring to Germany’s newly approved �500 billion infrastructure fund; a long-term investment aimed at modernising transport, energy, and digital systems while supporting climate goals and economic growth. It was approved by the federal government in March of this year.

Germany’s �500bn infrastructure fund moves ahead after political agreement A proposed �500 billion fund to improve infrastructure in Germany has won approval in the Bundestag after the Greens joined the SPD and CDU in backing it

That momentum isn’t universal across the region, though. Hingott pointed to a downturn in the UK, which had previously been “booming in construction the last years.� Now, he said, “We have just the HS2 railway project left, and there are not so many other big projects upcoming in the UK, so we see a little drop.�

Elsewhere in Europe, the picture is steady, if more modest.

“All the other markets in Europe, which for us is mainly Eastern Europe and Northern Europe, [are] doing quite well, but on a lower level.�

But what some readers could find surprising is where Bauer is choosing not to prioritise its time: China and the US.

Discussing Bauer’s global footprint, Hingott revealed a strategic refocus away from the Chinese market, citing its diminished viability for the company.

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Hingott said the company decided not to participate in the last round of Bauma China.

The Bauer e BG 33 H all-electric drilling rig on-display at bauma 2025. (Image: Mitchell Keller)

“This market is not a market anymore for us,� he said in earnest. “Chinese manufacturers are still pushing into the Asian markets with quite cheap equipment... We have no real chance to compete anymore, to be honest.�

Conversely, he expressed enthusiasm for opportunities in Australia and the Middle East, regions experiencing significant infrastructure growth.

India also emerged as a focal point, with Bauer’s construction arm actively participating in numerous infrastructure projects. “Construction is doing very well,� he said. “There are a huge number of infrastructure projects ongoing in India where we are participating and benefiting.�

But the Indian market presents challenges for new equipment sales, Hingott added, due to price sensitivity and competition from Chinese manufacturers. But Bauer has found success through after-sales services, tool sales and equipment rentals.

“We are doing very well [going back] many years, but it’s a different market for us... it’s not a market where we can sell new equipment,� Hingott said.

Navigating North American trade challenges

The conversation turned to North America, where recent tariff implementations have introduced uncertainty—particularly for international manufacturers. Hingott said in his discussions with US customers, he sensed optimism that the situation might resolve quickly.

“They are more relaxed than we are,� he said. “They think this tariff stuff will be sorted out in weeks.

“I’m not as optimistic as they are.�

He warned that if the tariffs linger, Bauer’s North American business could feel the impact in the coming year. “If it stays longer, it will hit us definitely in 2025,� he said. “The US market was very nice the last years, and we also expected in 2025 to have a really good development in the US.�

That expectation has been clouded by uncertainty over import duties—especially given the high capital investment required for Bauer equipment. “We are talking between �2 and �5 million each,� he said. “Of course, 20% of tariff or custom duty is a lot for them... [and] most likely they will slow down ordering equipment during the next months.�

Off-Highway Research managing director Chris Sleight, in a recent interview with Construction Briefing, noted preliminary figures suggest it was a tough year for construction equipment sales last year globally, with falls in many countries ranging from 10-20%.

Electrification, hybrid machines, and digitalisation at Bauer

Bauer and RTG’s eRG 19 T hybrid pile driver. (Image: Bauer)

No matter the region, Hingott said his company and brands are committed to electrification and digitalisation, which was on full display at Bauma.

But one of the more interesting machines was neither all-electric nor solely diesel powered: it is, instead, a little bit of both.

The eRG 21 T hybrid telescopic pile driver from Bauer brand RTG Rammtechnik is a hybrid. It combines a 430kW diesel engine with an 88kW electric motor, achieving up to a 68% reduction in fuel consumption and CO� emissions, according to Bauer.

Hybrid pile driver deployed on train station project A Bauer hybrid pile driver is in use for the foundation work on a German train station project

Hingott elaborated on the industry’s trajectory, as it relates to hybrid machines. “Most of the clients are still looking for fuel, diesel fuel engines or hybrid. No one is really looking for pure electrically driven equipment because the challenges are still there to get the power to the construction site.�

It’s not just machines, generally, receiving alternate power solutions, either.

One example of Bauer’s progress in electrification is the company’s fully-electric triple-Cutter Soil Mixing (CSM) method and system, currently in prototype phase. This combination of strategy and machinery is a large-scale foundation-drilling-rig configuration designed to carry out the CSM method � a technique that mixes in-situ soil with a cementitious slurry to create deep, stable underground walls.

The ‘triple� version features three cutter wheels working simultaneously, allowing it to produce wider soil-cement panels in a single pass while also reducing emissions and noise due to its fully electric drive.

Hingott added digitalisation stands as a cornerstone of Bauer’s strategy, too. He said integrating equipment data with broader construction site information can not only improve operational decision-making, but also to address labour shortages and reduce reliance on manual oversight.

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While maintaining that emissions reductions remain a high priority, he said Bauer and the industry also “have to focus [as much] on digitalisation and optimisation� in the next five years. He argued the efficiencies gained through data integration may have a more immediate impact on both performance and sustainability.

And on that digital frontier, Bauer continues to develop software solutions combing equipment telemetry with construction site logistics.

“We’re in a unique position because we manufacture equipment and also operate a construction company. That allows us to combine both perspectives and offer software solutions that pure equipment manufacturers can’t,� he said.

Short-term future may be closer to home for Bauer

Addressing competition from Chinese manufacturers and sky-high tariffs in the US, Hingott advocated for a focus on Bauer’s strengths, which includes recommitting to their historic sales footprint.

“We have to focus on our own,� he said, noting there are plenty of opportunities in the DACH region and Europe as a whole.

Offering some guidance for the local industry as a whole, Hingott said the German and European construction industries will simply need to find internal solutions if the burgeoning global trade situation worsens.

“We are strong; we have everything we need to sustain and to be successful,� Hingott said.