Forklift Market

Forklift Market Size

The global Forklift Market size was valued at USD 56.26 billion in 2022 and is projected to reach USD 147.91 billion by 2030, growing at a CAGR of 12.84% from 2023 to 2030. The market is expected to grow significantly due to investments in infrastructure development and the increasing adoption of electric forklifts. The adoption of electric forklifts is on the rise due to various factors. Firstly, the rising focus on net zero emissions and improving energy efficiency has accelerated the adoption of lithium battery-powered electric forklifts. Secondly, the increasing demand for electric forklifts is driven by their improved performance and energy efficiency resulting in lower operating costs compared to traditional internal combustion engine forklifts.

Additionally, the proliferation of automated warehouses is driving the adoption of electric forklifts in small and medium enterprises further fueling the growth of the market. As a result, the forklift market is expected to experience rapid growth in the coming years, with a key driver for handling heavy loads and transport operations.

However, there are challenges such as safety concerns related to forklifts and the high cost of maintenance. Forklifts come with a few concerns involving the environment, battery charging, skill requirements, limited mobility, and safety risks. Additionally, it may have difficulty on rough or uneven terrain causing problems in specific industries including industrial, construction, and manufacturing.

Despite these drawbacks, forklifts continue to be critical tools in the industrial sector for material handling, storage, and logistics operations. In conclusion, while forklifts have several disadvantages, they are still widely used because their benefits outweigh their drawbacks for many organizations.

Analyst’s Review

The soaring demand for online products driven by the surge in e-commerce is propelling the forklift market share. With the COVID-19 pandemic outbreak, driving online purchases to unprecedented levels, the rising number of warehouses and logistic centers, upsurge in demand for forklifts.

Many businesses are opting for automated forklift trucks to improve their warehouse management. Nonetheless, the forklift market is anticipated to be stifled by the rising safety concerns associated with forklifts and the high maintenance costs. To expand revenue streams, players in the market are avidly developing forklifts powered by hydrogen fuel cells.

Market Definition

A forklift is a vehicle used to move materials and lift over short distances which comes in various sizes, types, and designs, each suited for different load capacities, applications, and working environments. It typically features two forks or blades that slide under a load, raised and lowered by hydraulic power. Forklifts are commonly used in manufacturing, warehousing, and material handling industries and play a crucial role in moving and storing heavy objects.

Furthermore, these vehicles can be powered by either internal combustion engines or electric batteries, with each type having its advantages and disadvantages. The engines can be fueled by various energy sources such as gasoline, diesel, propane, or natural gas. Typically, electric forklifts are environmentally friendly, quiet, and have lower operating costs than their internal combustion counterparts.

Forklifts operate through a combination of steering, braking, and acceleration using controls located within easy reach of the operator. Additionally, some models may feature such as cameras, lights, alarms, or sensors for added safety. Forklift operators must undergo comprehensive training on forklift operation and obtain certification as required by law to operate the vehicle safely and avoid accidents.

There are various types of forklifts, each designed for specific purposes. Counterbalanced forklifts remain the most commonly used type and are capable of handling heavy loads. Reach trucks such as order pickers and stackers excel in narrow aisle and high-rise storage applications. Rough-terrain forklifts are designed for off-road and outdoor use whereas side loaders are used for large heavy loads.

Additionally, specialized forklifts such as marina and truck-mounted forklifts are designed for specific applications. Overall, forklifts have become indispensable in the market, enabling the efficient and faster mobility of products and supplies while enhancing productivity and reducing costs.

Forklift Market Dynamics

The forklift is an essential component of the industrial sector, as are critical tools for material handling, storage, and logistics operations. Industrial sectors such as manufacturing, construction, and logistics, rely heavily on forklifts for their operations. These sectors require specialized forklifts, such as rough terrain forklifts, reach trucks, and automated forklifts, to perform specific material handling tasks.

With the growth of the e-commerce industry and increasing demand for online products due to the COVID-19 pandemic, the industrial sector is likely to continue experiencing growth in the coming years. Consequently, the demand for forklifts is also expected to rise, creating opportunities for market growth.

The concerns pertaining to insufficient charging infrastructure in developing countries are likely to hamper the market growth. This makes it difficult for electric forklifts to be used in areas where there is no access to charging stations or dedicated power lines. Without sufficient charging infrastructure, it may be challenging to keep the forklifts charged and in operation for long periods. Despite the challenges encountered, the forklift industry continues to grow and innovate to meet the needs of businesses in a wide range of industries.

Segmentation Analysis

The global forklift market is segmented based on fuel type, tonnage, application, and geography.

By Fuel Type

Based on the fuel type, the market is categorized into gasoline & LPG/CNG, diesel, and battery-electric. The gasoline & LPG/CNG segment held the largest market share of 63.12% in 2022. LPG and CNG forklifts are witnessed as more environmentally friendly and cost-effective alternatives to their diesel-powered counterparts, resulting in their growing popularity. Various companies in the forklift industry are expected to focus more on environment-friendly and low-maintenance forklifts, including gasoline and LPG/CNG-powered forklifts. Therefore, these trends indicate a promising future for the gasoline and LPG/CNG-powered forklift market.

By Tonnage

Based on the tonnage, the market is categorized into below 5 Ton, 5 Ton - 10 Ton, 11 Ton – 36 Ton, and above 36 Ton. The above 36 Ton segment accumulated the largest market share of 47.78% in 2022. This can be attributed to the increasing use of forklifts in construction and heavy manufacturing industries. As these industries continue to grow and expand, companies are investing in high-capacity forklifts to meet the demand for heavy lifting and material handling operations. Overall, these trends suggest that there is a promising future for the above 36-ton forklift segment, as companies continue to invest in high-capacity forklifts to meet the demand of various industries.

By Application

By application, the market is categorized into freight & logistics, wholesale & retail distribution, manufacturing, and others. The freight & logistics segment held the largest market share of 61.68% in 2022 owing to the demand for material handling equipment in transportation, which is expected to drive the forklift market growth. Sectors such as natural resources, logistics, mining, and construction are projected to experience moderate growth rates with significant growth expected over the forecast period.

Forklift Market Regional Analysis

Based on regional analysis, the global forklift market is classified into North America, Europe, Asia Pacific, MEA, and Latin America.

The Asia Pacific will dominate the market share at 43.03% in 2022 owing to advanced material handling equipment across sectors like construction, mining, and food & beverage. In addition, there is a surge in the adoption of technologically advanced vehicles which is fueling the growth of the battery-operated forklift. The region is leading due to the large presence of companies in China. This nation has the highest number of registered and unregistered local players which have a considerable foothold throughout the country.

Competitive Landscape

The global forklift industry study report will provide valuable insight with an emphasis on the fragmented nature of the global market. Prominent players are focusing on several key business strategies such as partnerships, mergers and acquisitions, product innovations, and joint ventures to expand their product portfolio and increase their respective market shares across different regions. Expansion & investments involve a range of strategic initiatives including investments in R&D activities, new manufacturing facilities, and supply chain optimization.

List of Key Companies in Forklift Market

• Jungheinrich AG
• Mitsubishi Electric Corporation
• Toyota
• Hyster-Yale Group, Inc.
• Raymond West
• Crown Equipment Corporation
• Doosan Corporation
• Hangcha Forklift
• KION GROUP AG
• CLARK

Key Industry Developments

• March 2023 (Partnership): KION Group has signed a definitive agreement with Li-Cycle Holdings for a strategic partnership to recycle lithium-ion batteries. As part of their collaboration, Li-Cycle will utilize their unique, submersible shredding technology to recycle lithium-ion batteries from KION's worldwide brands. This process is both environmentally sound and economically beneficial while also ensuring safety throughout the recycling process.
• March 2023 (Launch): Mitsubishi Logisnext Americas group, the sole manufacturer and distributor of UniCarriers Forklifts in North, Central, and South America, has introduced its novel Triathlon Lithium-ion battery and charger offerings for the UniCarriers product range.
• December 2022 (Launch): CLARK announced SEC20-35 four-wheel electric forklift under S-SERIES portfolio to improve efficiency and ease of operation equipped with multiple advanced features.

The Global Forklift Market is segmented as:

By Fuel Type

• Gasoline & LPG/CNG
• Diesel
• Battery-Electric

By Tonnage

• Below 5 Ton
• 5 Ton - 10 Ton
• 11 Ton – 36 Ton
• Above 36 Ton

By Application

• Freight & Logistics
• Wholesale & Retail Distribution
• Manufacturing
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • France
  • UK
  • Spain
  • Germany
  • Italy
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Rest of Asia Pacific
• Middle East & Africa
  • GCC
  • North Africa
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America