Forklift Truck Market – Trends Forecast Till 2031

Market Snapshot

Market Overview

The global Forklift Truck Market size was estimated at USD 72,483.9 million in 2024 and is projected to reach USD 179,158.4 million in 2031 at a CAGR of 13.8 % during the forecast period 2025-2031.

The forklift truck market refers to the industry that manufactures and sells forklifts, which are essential machines used for lifting and transporting materials over short distances, especially in warehouses, factories, and distribution centers. These trucks are a critical part of supply chains, providing solutions for material handling, inventory management, and storage. Forklift trucks come in various types, including counterbalance forklifts, reach trucks, pallet jacks, and rough-terrain forklifts, catering to different operational needs in diverse environments, such as indoor warehousing or outdoor construction sites.

The scope of the forklift truck market is extensive, encompassing both the sale of new trucks and the rental or leasing of forklifts. In addition to traditional forklifts, the market also includes electric, hybrid, and fuel-cell forklifts as industries increasingly focus on reducing carbon footprints and improving energy efficiency. Forklift trucks are used across a wide range of sectors, from retail and manufacturing to construction and logistics. The rising demand for automation and the growth of e-commerce have further expanded the market, as businesses look for advanced material handling solutions to meet the increasing speed and efficiency requirements of modern supply chains.

Key trends in the forklift truck market include a shift towards electric forklifts, driven by environmental regulations and a growing emphasis on sustainability. Advances in technology have also led to the development of autonomous forklifts and telematics, allowing businesses to track and manage fleet performance more effectively. Another trend is the increasing adoption of forklifts with advanced safety features, such as load sensors, collision detection systems, and enhanced ergonomic designs, to reduce workplace accidents and improve operational efficiency. The use of forklifts in increasingly automated environments, particularly within large distribution centers, is also gaining momentum.

The growth drivers of the forklift truck market are closely linked to industrial development, increased warehousing capacity, and rising global trade. The expansion of e-commerce and the need for more efficient logistics operations have led to a surge in demand for material handling equipment, including forklifts. Additionally, the growing emphasis on sustainability and energy efficiency has prompted a shift toward electric and low-emission forklift models. Government regulations on safety standards and emissions further stimulate the market, pushing manufacturers to innovate and meet these evolving demands.

Impacts USA tariff rates on the ESG investing market

Tariffs on imported components such as steel, batteries, and other materials used in forklift manufacturing can impact production costs. The U.S. has imposed tariffs on various foreign goods, which could lead to higher prices for forklifts, especially for models using imported parts or materials. However, the impact of these tariffs is somewhat mitigated by ongoing efforts within the industry to source locally or adjust supply chains. Despite these challenges, the demand for forklifts, driven by the growth of e-commerce and logistics, is expected to remain strong, and manufacturers may pass on higher costs to consumers or invest in local production to reduce tariff exposure.

Delvens Industry Expert's Standpoint

Experts in the Forklift Truck Market highlight several key trends driving growth and innovation. The forklift truck market encompasses the manufacturing and sale of various types of forklifts used for material handling across industries such as warehousing, construction, and logistics. The market has seen growth due to increasing demand from e-commerce, industrial development, and the need for energy-efficient and automated solutions, such as electric and autonomous forklifts. Trends include a focus on sustainability, safety advancements, and automation within supply chains. Drivers like global trade expansion and government regulations further fuel the demand for forklifts, leading to technological innovation and efficiency improvements in the sector.

Analyst view on the impacts of U.S. tariff rates on the forklift truck market

The impact on the forklift truck market could be significant, particularly for imported components such as steel and batteries. Higher tariffs could lead to increased production costs, potentially raising forklift prices for consumers. However, the market is likely to adjust, with manufacturers either absorbing the costs, sourcing more locally, or passing the price increase on to customers. As demand for material handling equipment remains strong, particularly in logistics and e-commerce, the overall impact of tariffs may be tempered by continued growth in the sector, although the cost of forklifts could rise, especially if tariffs on critical parts remain high.

Market Portfolio

Key Findings

• The class 3 segment leads the market, comprising electric motorized hand trucks that are controlled by a tiller at the front of the vehicle. These hand-controlled forklifts are often used for tasks that require low lifts, such as transferring goods across the warehouse floor without the need for high shelves or racks. The simplicity and ease of use make them ideal for environments where precise handling and short-distance movement are essential, ensuring their continued popularity in material handling applications.

• The class 1 segment is expected to see significant growth due to the rising demand for electric rider trucks across various sectors, including retail stores, factories, and chemical industries. These forklifts are favored for their fewer moving parts, which reduce maintenance needs and overall costs. Their quiet operation and maneuverability in confined spaces make them a preferred option in environments where noise and space limitations are key considerations.

• The electric power source segment holds the largest share in the forklift industry, driven by the growing focus on sustainability and environmental impact. Electric forklifts offer a more eco-friendly alternative to traditional gasoline and diesel-powered models, reducing emissions and providing a cleaner, healthier work environment. Advances in battery technology continue to enhance the efficiency and lifespan of electric forklifts, making them a leading choice for companies looking to improve their environmental footprint and reduce operational costs.

• The 5-15 ton load capacity segment leads the market, as forklifts in this range are widely used for handling heavy materials like pallets, steel, and bricks. Their versatility allows them to operate both indoors and outdoors and is suitable for a variety of fuel sources such as natural gas, propane, or gasoline. These forklifts are typically sit-down models, providing reliable and efficient material handling, making them essential for industries requiring precision in lifting and positioning heavy objects.

• The below 5 ton load capacity segment is expected to grow at the fastest rate, as compact forklifts offer flexibility in handling various load sizes in tight spaces. These forklifts are well-suited for tasks in environments like manufacturing, warehousing, and logistics, where space is limited but efficient material movement is necessary. Their compact size and ability to safely move products in confined areas also contribute to their growing demand, particularly in applications involving sensitive or hazardous materials.

• The lead-acid battery segment holds the largest revenue share, as these batteries are reliable power sources for electric forklifts, capable of providing high power surges for heavy lifting tasks. Lead-acid batteries are commonly used because they offer consistent output without significant voltage drops or power fluctuations, making them a preferred option for demanding material handling applications in various industries. The Li-ion battery segment is projected to experience the fastest growth due to the increasing environmental concerns and the shift toward cleaner, more sustainable technologies. Lithium-ion batteries are more eco-friendly than traditional lead-acid batteries, which contain hazardous chemicals like lead and sulfuric acid. As businesses strive to reduce their carbon footprint and comply with stricter environmental regulations, the adoption of Li-ion batteries in electric forklifts is expected to rise, driving the segment’s expansion.

• The industrial segment is the leading end-user for forklifts, as they play a crucial role in material handling within manufacturing plants, warehouses, and distribution centers. Forklifts in these environments help streamline the movement of raw materials, intermediate products, and finished goods along production lines, enhancing operational efficiency by reducing bottlenecks and improving the flow of goods. The retail & e-commerce segment has seen significant growth, driven by the rise of online shopping and changing consumer behaviors. Forklifts are now integral to the industry, supporting efficient logistics and material handling in warehouses. Their ability to maneuver in tight spaces and manage inventory quickly and accurately helps streamline the entire fulfillment process, ensuring timely delivery and optimized warehouse operations for e-commerce businesses.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. North America region is projected to hold the largest market share. Factors such as Industrial Growth, E-commerce Expansion, Demand for Warehouse Automation, Infrastructure Development, Rising Adoption of Electric Forklifts, Safety and Compliance Regulations, Technological Advancements, Government Support and Initiatives, Increasing Demand for Material Handling Solutions, Urbanization, Growing Manufacturing Sector, Global Trade and Logistics, Sustainability and Environmental Concerns, Fleet Management and Optimization, Labor Shortages and Automation Trends  have triggered the Forklift Truck Market in the region.

Regional Analysis

North America to Dominate the Market

• In North America, the forklift truck market is experiencing steady growth, driven by the expansion of e-commerce and the need for efficient material handling solutions across industries such as logistics, manufacturing, and retail. The region is characterized by a high level of automation in warehouses and distribution centers, which has led to an increased demand for advanced forklift trucks, including electric and automated models. With a strong focus on sustainability and reducing carbon footprints, many companies are shifting towards electric forklifts, further boosting the market. However, challenges like supply chain disruptions and the increasing cost of raw materials can impact the market's growth trajectory.

• In Europe, the forklift truck market is also seeing substantial growth, influenced by a growing emphasis on sustainability and energy efficiency. The region is prioritizing environmentally friendly technologies, with a significant shift towards electric forklifts and hybrid models. Regulatory frameworks in Europe, such as the EU's stringent emission standards, are encouraging the adoption of cleaner technologies. Additionally, industries such as automotive, logistics, and construction are increasingly relying on forklifts to streamline operations and improve productivity. While the market is growing, there are challenges related to the integration of new technologies, workforce training, and the high upfront cost of advanced forklift models.

• In the Asia-Pacific region, the forklift truck market is expanding rapidly, particularly in countries like China, Japan, and India. The rapid industrialization and urbanization in these countries are driving demand for material handling equipment, including forklifts. The growing e-commerce sector and the shift towards more efficient supply chains are key factors contributing to this growth. However, the market in this region faces challenges such as the varying levels of technological adoption across different countries, the need for infrastructure development, and concerns regarding safety standards and training. Despite these challenges, the market is expected to continue its upward trajectory due to the increasing demand for automation and efficient material handling solutions.

• In Latin America, the forklift truck market is growing but at a slower pace due to the region's economic instability and underdeveloped infrastructure in certain areas. However, there is an increasing demand for forklifts, especially in industries such as logistics, retail, and construction. The market is gradually shifting towards electric and more sustainable models, though adoption rates are still lower compared to other regions. Regulatory frameworks around environmental sustainability and safety standards are still in the early stages of development, which can hinder the widespread adoption of newer forklift technologies. Despite these challenges, the region is showing signs of growth as businesses look to modernize their operations and improve efficiency.

• In the Middle East and Africa, the forklift truck market is evolving, with demand being driven by infrastructure development, particularly in countries like the UAE and Saudi Arabia. The region's push towards modernization and diversification of its economies is leading to greater investments in material handling equipment. While there is a growing interest in electric forklifts, the market is still dominated by internal combustion engine (ICE) forklifts, particularly in heavy-duty applications. One of the main challenges in the region is the limited availability of skilled labor to operate and maintain modern forklift trucks, as well as the high cost of importing advanced equipment. However, with the region's increasing focus on sustainability and industrial growth, the forklift truck market is set to expand in the coming years.

Competitive Landscape

• Anhui Heli Co., Ltd.
• Clark Material Handling Company (Clark Equipment Company)
• Crown Equipment Corporation
• Doosan Corporation
• Hangcha Forklift
• Hyster-Yale Materials Handling, Inc. (Hyster-Yale Group, Inc.)
• Jungheinrich AG
• KION Group AG
• Komatsu Ltd.
• Mitsubishi Logisnext Co., Ltd.
• Toyota Motor Corporation (Toyota Material Handling)

Recent Developments

• In July 2021, Hangcha has launched its new XH series 2.0t-3.5t electric forklift truck with high voltage lithium-ion batteries. these trucks are integrated with high voltage lithium batteries, which can be fully charged within one hour and perform up to 12 hours. Furthermore, with a rapid charging facility, these can be charged during regular work breaks, which will run for the entire day with no extra battery exchange.
• In July 2021, KION Group AG has set up a new industrial truck plant in the Polish town of Kołbaskowo, near Szczecin. The site will produce counterbalance trucks for all brand companies within the KION Industrial Trucks & Services segment.

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Report Scope