The forklift truck market has been growing rapidly over the past few years owing to the increasing applications across various industries including e-commerce, logistics, manufacturing, and construction. Forklift trucks are motorized vehicles used to transport and lift materials over short distances through the use of hydraulic systems, tines, clamps, or lifting forks. They offer various advantages such as enhanced productivity, reduced labor costs, easy handling of heavy loads, improved ergonomics, and safety. The growing e-commerce sector has been a major driving force, necessitating efficient material handling at warehouses and distribution centers.
The Global forklift truck market is estimated to be valued at US$ 44.71 Bn in 2024 and is expected to exhibit a CAGR of 11.% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the forklift truck market are Toyota Industries Corporation Group, Kion Group AG, Jungheinrich AG, Hyster-Yale Materials Handling, Inc., Crown Equipment Corporation, Mitsubishi Nichiyu Forklift Co., Ltd., UniCarriers Americas Corporation, Anhui Heli Company Limited, Komatsu Ltd., Clark Material Handling Company, Doosan Industrial Vehicle, Hangcha Group Co. Ltd., JBT Corporation, Combilift Ltd., Godrej & Boyce Mfg. Co. Ltd, Linde Material Handling. Toyota Industries is currently the leading player with around 18% share of the global market.
The exponential growth of e-commerce is opening tremendous opportunities for automation and adoption of modern material handling equipment like forklift trucks. Countries like India and China are witnessing rising demand from the booming e-commerce sector.
Major forklift truck manufacturers are focusing on global expansion by setting up manufacturing plants in different regions. For instance, in 2022, Toyota Industries Corporation inaugurated a new forklift production facility in India to cater to the fast-growing demand. Several players are also strengthening their dealer networks globally.
Market Drivers
– Rapid growth of the e-commerce and logistics sector is a key driver as it requires efficient warehouse operations and material handling capabilities. E-commerce sales are expected to grow at over 20% annually till 2030.
– Increasing industrialization and construction activities worldwide is augmenting the demand for forklifts from manufacturing plants, airports, seaports for handling heavy cargo and construction materials.
Market Restraints
– High maintenance and fuel costs associated with traditional internal combustion forklift trucks hinder widespread adoption. This can be addressed through robust rental services and extended warranty programs.
– Strict emission regulations in some countries for diesel/LPG forklifts act as a restraint. However, advanced electrically powered forklifts are addressing this concern.
Segment Analysis
The forklift truck market is dominated by the internal combustion engine segment. Internal combustion engines, especially diesel engines, account for around 80% of the engines used in forklifts. Diesel forklifts offer more power and torque compared to other fuel types, which makes them suitable for intensive applications involving heavy loads and frequent use. Their reliability, initial cost effectiveness, and availability of diesel continue to drive the usage of diesel forklifts.
The electric motor segment is expected to grow at a higher CAGR during the forecast period. Factors such as stringent emission norms, growing demand for green tech, low maintenance costs, and technological advancements are promoting the adoption of electric forklifts. The integration of lithium-ion batteries is making electric forklifts more viable for intensive industrial operations due to improved battery capacities and faster charging rates.
Global Analysis
The Asia Pacific region currently holds the largest share in the forklift truck market, and is also projected to record the highest gains during the forecast period. The growth can be attributed to rapidly expanding manufacturing, warehousing, and e-commerce industries across major countries such as China, India, Japan, and South Korea. China, in particular, has emerged as the world’s largest manufacturer and consumer of forklifts driven by a strong manufacturing base. North America and Europe are other sizable regional markets, while market growth across developing countries in Latin America and the Middle East & Africa is expected to pick up pace supported by ongoing industrialization.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
