Global Forklift Market to Reach $19.1 Billion by 2026

Forklifts or powered industrial trucks are designed to suit specific applications such as lifting, loading and unloading of bulk goods. The broader adoption of forklifts is attributed to their ability to efficiently lift and move materials over different paths without any restrictions. Global demand for these systems is likely to be propelled by growth in infrastructural and industrial activities along with the need of high-capacity systems for high production and yield of goods. Booming e-commerce and retail businesses, flourishing automotive component manufacturing, growing consumable goods industry, and rising construction industry are further augmenting demand for forklifts. In addition, implementation of stringent regulatory standards towards worker safety during goods movement, like the EU`s `Health and Safety Directive` is expected to fuel the adoption of forklifts for manufacturing as well as distribution processes. The market is expected to also gain from technological advances and availability of automated platforms like monitoring and tracking solutions. The growing demand for shelves, pallets and racks in end-use applications along with the ability of these systems to reduce human efforts and enhance efficiency presents lucrative growth opportunities.

Amid the COVID-19 crisis, the global market for Forklift estimated at US$16.7 Billion in the year 2020, is projected to reach a revised size of US$19.1 Billion by 2026, growing at a CAGR of 2.2% over the analysis period. Diesel, one of the segments analyzed in the report, is projected to grow at a 1.6% CAGR to reach US$10.3 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Electric segment is readjusted to a revised 3.2% CAGR for the next 7-year period. This segment currently accounts for a 19.1% share of the global Forklift market. Diesel forklift trucks are primarily designed for heavy lifting and to operate outdoors in rough terrain and harsh environments. They are suitable for handling and transporting a wide range of unit loads. Due to stringent regulatory emission norms for regulating CO2 emissions and relative high maintenance costs, diesel forklifts have made way for electric forklifts that are powered by electricity. Electric forklifts are propelled by a battery power source that does emit any harmful exhaust fumes. Rise in adoption of electric forklifts due to its benefits over internal combustion (IC) engines powered forklifts and increase in investments targeted at advancements in battery technology are poised to fuel growth of electric forklifts in the near future.

The U.S. Market is Estimated at $4.6 Billion in 2021, While China is Forecast to Reach $3.4 Billion by 2026

The Forklift market in the U.S. is estimated at US$4.6 Billion in the year 2021. The country currently accounts for a 27.2% share in the global market. China, the world`s second largest economy, is forecast to reach an estimated market size of US$3.4 Billion in the year 2026 trailing a CAGR of 3.3% through the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 1.5% and 1.7% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 1.8% CAGR while Rest of European market (as defined in the study) will reach US$3.6 Billion by the end of the analysis period. The encouraging scenario on the wholesale & retail distribution front coupled with robust demand for replacement of forklift trucks is spiraling demand for forklifts in the US market. Adoption of advanced technologies and Industry 4.0 initiative by the governments are creating growth opportunities for forklifts in the European market. Further, thriving e-commerce market and surging demand for battery operated forklift vehicles are expected to spur growth in the market. Low penetration of forklifts; increasing manufacturing, wholesale and distribution, and freight and logistics sectors; rapidly expanding automotive and construction industries; and flourishing e-commerce business are driving a demand influx in the Asia-Pacific region.

Gasoline & LPG/CNG Segment to Reach $5.1 Billion by 2026

LPG powered forklift trucks are suitable for both indoor and outdoor applications, produce significantly less emissions, more maneuverable than diesel forklifts, quieter, and better travel speeds, lift speeds and acceleration than electric and diesel forklifts. The LPG forklift produces fewer emissions due to the efficient performance of exhaust catalytic converters on higher temperature LPG spark ignition engine. In the global Gasoline & LPG/CNG segment, USA, Canada, Japan, China and Europe will drive the 2.5% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$3.3 Billion in the year 2020 will reach a projected size of US$3.9 Billion by the close of the analysis period. China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$643.2 Million by the year 2026, while Latin America will expand at a 2.7% CAGR through the analysis period.