North America Forklift Truck Market Size, Share, Competitive Landscape and Trend Analysis Report, by Power Source, Class and End Use : Regional Opportunity Analysis and Industry Forecast,2023-2032

The North America forklift truck market size was valued at $12.15 billion in 2022, and is projected to reach $27.81 billion by 2032, registering a CAGR of 8.9% from 2023 to 2032.

Forklift trucks are powerful, heavy-duty electric lift trucks, which are widely used to lift and transfer heavy materials, such as container goods, crates, and other such components, over a short distance. These trucks are majorly used in dockyards, warehousing operations, and recycling operations to perform functions such as loading and unloading goods from vehicles and moving packed goods around the storage area. In addition, forklift is generally powered by an electric battery or internal combustion engine. There are numerous types of forklift trucks such as articulated forklift, counterbalance forklift, side loader forklift, reach forklift, turret forklift, rough terrain forklift, and others which have a wider application across different industries.

The occupational safety and health administration (OSHA) has established classifications for different types of forklifts used in various industries. These classifications help categorize forklifts based on their power source, design, and intended use. The trucks are classified as Class I (electric motor rider trucks), Class II (Electric motor narrow aisle trucks), Class III (Electric motor hand trucks or hand/rider trucks), Class IV (Internal combustion engine trucks [solid/cushion tires]), Class V (Internal combustion engine trucks (pneumatic tires)), Class VI (Electric and internal combustion engine tractors), and Class VII (Rough terrain forklift trucks). Developments in the e-commerce business drive the growth of the North America forklift truck market. In addition, a rise in investments in infrastructure developments, and increase in adoption of electric forklift trucks are the factors anticipated to propel the growth of the market. However, an increase in safety issues related to forklift trucks, and the high cost associated with maintenance of forklift trucks are expected to hamper the market growth. Furthermore, the production of hydrogen fuel cell forklifts and the development of autonomous forklift trucks offer remarkable growth opportunities for the players operating in the forklift truck industry.

The forklift truck market is segmented on the basis of power source, class, end user, and country. By power source, the market is bifurcated into IC engine-powered and electric-powered. By class, it is categorized into class 1, class 2, class 3, class 4, class 5, and others. By end user, it is divided into retail and wholesale, logistics, automotive, food industry, and others. By country, the market is analyzed across U.S, Canada, and Mexico across which the research study has been carried out.

Key players profiled in the North America forklift truck market report include Crown Equipment Corporation, Hyster-Yale Material Handling, Inc., Kion Group AG, Komatsu Ltd., Mitsubishi Logisnext Co., Ltd., Toyota Industries Corporation, Caterpillar Inc., CLARK, Vallee and Taylor Group of Companies.

Growth in e-commerce industry

The e-commerce market continues to grow at a healthy rate. Increase in demand for consumer products has led to rise in the requirement of warehousing space, for storage of products, which are then distributed to retail stores in bulk, via pallet loads and cases. Various distribution strategies and warehouse technologies are adopted to distribute the products to the location without any damage. To reduce time and space, forklift trucks are used in the warehouses to place and arrange materials or goods in a proper manner. As per the usage, these trucks are available in different models such as counterbalanced sit-down riders, swing-reach turrets, and order pickers, with different power options including electric, natural gas, diesel, and gasoline.

For instance, in May 2021, according to UNCTAD, a United Nation Conference on Trade and Development expert, the share of the global e-commerce sector's retail sales increased "dramatically" from 16% to 19% in 2020. Thus, developments in the e-commerce industry drive the growth of the North America forklift truck market.

 

Rise in investments in infrastructure development

Governments of various countries have taken initiatives related to infrastructure developments. Increased investments in the real estate sector boost the demand for forklift trucks. For instance, in June 2023, the government of U.S. announced that it has awarded over $2.2 billion through the RAISE (Rebuilding American Infrastructure with Sustainability and Equity) discretionary grant program to support 162 different infrastructure projects across the U.S.

Among the projects that received funding is a significant grant of nearly $23 million to build a pedestrian bridge and a multi-modal transit hub in Orangeburg, South Carolina. Infrastructure development involves the construction of roads, bridges, buildings, and other projects, leading to higher demand for material handling equipment such as forklifts. These machines are essential for moving and transporting construction materials, equipment, and supplies at construction sites. In addition, manufacturers are developing forklift trucks for handling large and heavy loads. For instance, in May 2022, CLARK Material Handling Company introduced a new pneumatic forklift truck called the S40-60 IC. This forklift is part of the S-SERIES line, known for its quality and durability. It is designed to handle heavy loads, with capacities ranging from 8,000 to 12,000 pounds. Thus, rise in investment in infrastructure development in the countries and the rise in manufacturing of forklift trucks for material handling with high capacities are expected to propel the growth of the North America forklift truck market.

Increase in safety issues related to forklift trucks

At the Safety and Health Expo in July 2019, forklift trucks training technical manager announced that the rate of accidents related to forklift trucks has increased over the past few years. More than half of the injured people are drivers or pedestrians who stepped down from the vehicle. In addition, of all the vehicles that are used in the workplace, forklift is one of the most dangerous ones, as it is often used around pedestrians and is more likely to become unstable, specifically if it is not operated and loaded appropriately.

For instance, in 2020, according to Occupational Safety and Health Administration (OSHA), roughly around 85 deaths and 34,900 serious injuries happened due to forklift accidents. Also, according to National Institute for Occupational Safety and Health (NIOSH), rolling or overturn of forklift, falling of operator from forklift, and workers are hit, crushed, or pinned by a forklift are the three most common type of injuries that occur. Furthermore, according to the Industrial truck association, approximately out of 850,000 forklifts present in the U.S., 11% of them are involved in an accident. Thus, increasing safety issues and accidents related to forklift trucks are anticipated to hinder the growth of the North America forklift truck market during the forecast period.

Development of hydrogen fuel cell powered forklifts

The adoption of electric powered forklifts has been increasing over the past few years and manufacturers are making remarkable efforts to exceed the performance of internal combustion (IC) engines. In addition, environment concerns and availability of natural resources such as natural gas, oil, coal and others are also boosting the need to find long term and sustainable renewable energy solutions. When material handling equipment, factories, and automobiles are considered, hydrogen fuel stands as a remarkable replacement for conventional means of powering equipment and machinery.

Forklift trucks with hydrogen fuel cells are environment-friendly and help the environment through reduction of air pollutants, noise emission, and decarbonization. Leading forklift truck manufacturers are introducing a new range of forklifts with fuel cell technology owing to these benefits offered by the hydrogen fuel cell forklifts. Furthermore, forklift truck manufacturers collaborate with clean technology companies to develop zero emission and environment friendly forklift trucks. For instance, in February 2023, Wiggins Lift Co., a provider of material handling established a contract with Loop Energy to provide fuel cell system for its new hydrogen-powered eBull forklift product. Loop Energy, a California-based company, is expected to deliver the fuel cell system and begin the commissioning in Q2 2023, with the commercial deployment of the hydrogen-electric forklifts planned for late 2023. Thus, production of hydrogen fuel cell forklifts holds a lucrative growth opportunity for market expansion.

COVID-19 Impact Analysis:

The COVID-19 crisis is creating uncertainty in the market, massive slowing of the supply chain, falling business confidence, and increasing panic among the customer segments. Governments of different regions have already announced total lockdown and the temporary shutdown of industries, and the overall production process is adversely affected. The spread of the COVID-19 pandemic has negatively impacted the North America forklift trucks market owing to the lockdown imposed in the majority of the countries across the globe.

KEY BENEFITS FOR STAKEHOLDERS

• This study presents analytical depiction of the North America Forklift Truck Market analysis along with current tends and future estimations to depict imminent investment pockets.
• The overall North America Forklift Truck Market opportunity is determined by understanding profitable trends to gain a stronger foothold.
• The report presents information related to the key drivers, restraints, and opportunities of the North America Forklift Truck Market with a detailed impact analysis.
• The current North America Forklift Truck Market is quantitatively analyzed from 2022 to 2032 to benchmark the financial competency.
• Porter’s five forces analysis illustrates the potency of the buyers and suppliers in the industry.

  North America Forklift Truck Market Report Highlights