The global hand tools market size was valued at $21,290.4 million in 2020, and is projected to reach $31,817.3 million by 2030, registering a CAGR of 4.2%.
Hand tools constitute tools and equipment that are not powered by electricity. These tools find their applications in daily gardening, agriculture, and farming. Since, the tools are manually operated, their application is restricted to certain tasks and skills. Moreover, major factors that drive the growth of the hand tools market include increase in demand from automotive maintenance and repair sector along with advancements in the production technology of hand tools. In addition, increase in use of hand tools in industrial applications is another factor that drives the overall market growth. However, low profit margin due to acute competition and lack of skilled professionals are some key challenges that restrain the growth of the global hand tools market. In addition, growth in popularity of power tools and their versatile application is expected to hinder the growth of this market during the forecast period. Further, the recovery of the construction industries is also expected to fuel the demand for hand tools. However, the growth in machinery and equipment manufacturing sectors around the globe offers lucrative growth opportunities for the market players during the forecast period.
Moreover, growth in the aerospace industry is an important opportunity leading toward the growth of the hand tools market, particularly in Germany. According to the Germany Trade and Invest (GTAI) agency, the German aerospace industry generated revenues of over $30.38 billion in 2020 and is one of the best performing industries in the country. The aerospace industry is also a major consumer of hand tools, which, thereby, boosts the growth of the hand tools market in Europe.
The advanced industrial growth in developed countries such as the U.S. and Germany, drives the attention of hand tool and accessory manufacturers around the globe. The strong foothold of various brands in the German market bolsters the dependence on hand tools for the production and assembly of automobiles, aerospace, and other such products. This motivates the hand tool manufacturers to launch advanced and efficient tools and accessories. For instance, Robert Bosch Power Tools GmbH, a subsidiary of Robert Bosch Group, based in Germany, generated around 15% sales only from Germany. Through its brands Bosch and Dremel, it has launched over 100 types of hand tools, accessories, and measuring tools for the German market in 2020.
Cable Cutter segment is projected to grow at a highest CAGR
The global hand tools market is classified on the basis of type, distribution channel, end-user, and region. By type, the market is segmented into wrench, plier, screw drivers, hammers, cable cutter, and others. By distribution channel, the market is bifurcated into in store and online. By end user, the market is categorized into DIY, commercial, and industrial.
By region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. Asia-Pacific is expected to dominate the global market during the analysis period due to growth in urbanization and increase in infrastructure investments. Moreover, China is one of the major exporters of hand tools globally. The rapid industrial development of China has motivated the hand tools and accessories manufacturers to establish their production units in the country. The low labor and material costs in China help the manufacturers to produce hand tools and accessories at lower prices as well as to attain high manufacturing productivities. The Chinese hand tools market also includes many small manufacturers who generally serve the Asian demand for hand tools. Furthermore, the developing automotive, electronics, aerospace industries in China creates opportunities for the growth of hand tools in China.
By End User
Industrial segment holds dominant position in 2020
The key companies profiled in the report include Akar Tools Limited, Snap-On Incorporated., Stanley Black and Decker, Techtronic Industries Co. Ltd., Wera Tools, Apex Tool Group, Klein Tools Inc., Channellock, Inc., JCBL India, and Emerson Electric Co.
The major players operating in the global hand tools market have adopted key strategies such as product launch and business expansion, to strengthen their market outreach and sustain the stiff competition in the market. For instance, in May 2019, Stanley Black & Decker announced the opening of new plant for the production of its brand CRAFTSMAN, in Fort Worth, Texas. The new facility has an area of 425,000-square-foot and is expected to employ approximately 500 full-time employees. Similarly, Robert Bosch GmbH made significant investments in its manufacturing facilities across North America, by investing.
Asia-Pacific holds a dominant position in 2020 and is expected to grow at a significant rate during the forecast period.
Key Benefits For Stakeholders
- The report provides an extensive analysis of the current and emerging hand tools market trends and dynamics.
- In-depth market analysis is conducted by constructing estimations for the key segments between 2020 and 2030.
- Extensive analysis of the hand tools market is conducted by following key product positioning and monitoring of the top competitors within the market framework.
- A comprehensive analysis of all the regions is provided to determine the prevailing opportunities.
- The global hand tools market forecast analysis from 2020 to 2030 is included in the report.
- The key market players operating in the market are profiled in this report, and their strategies are analyzed thoroughly, which help understand the competitive outlook of the industry.
Hand Tools Market Report Highlights
By DISTRIBUTION CHANNEL
By END USER
The use of hand tools is highest in the Asia-Pacific region due to growth if industrial sector and rise in urbanization. In addition, the utilization of hammers, wrenches, and cable cutters is on a rise, owing to increase in the cable and construction industry around the globe. Moreover, Asia-Pacific is expected to witness growth at the highest CAGR during the forecast period, with notable growth in the developing countries such as China and India, which have become a favorable destination for investments in the manufacturing sector.
Growth in demand for automation in industries has transformed the adoption of hand tools in the recent years. These hand tools are cheap as compare to the power tools that work on electricity and other advance technology. The hand tools are popular due to the DIY culture and their features such as lightweight and more durable. Manufacturers of hand tools are taking continuous efforts to develop durable and efficient hand tools for the automation industry. Players operating in the hand tools market have adopted product launch as their key growth strategy to gain a stronger foothold. Thus, all these factors together are anticipated to significantly contribute toward the growth of the global hand tools market.