Material Handling Equipment Market Size Report, 2022-2030
The global material handling equipment market was estimated at USD 27 billion in 2021 and is expected to reach USD 46.38 billion by 2030, poised to grow at a compound annual growth rate (CAGR) of 7.5% during the forecast period 2022 to 2030.
Growth Factors:
Rapid industrialization and increased demand for automation in material handling equipment will drive market growth over the forecast period. Further, an upsurge in e-commerce growth worldwide will also act as a catalyst for future market growth. However, the lack of a skilled workforce to operate automated system functions may limit adoption to a certain extent.
The COVID-19 pandemic forced several companies to operate with a limited workforce. Therefore, the demand for automated systems/equipment witnessed an uptick in 2020, a trend expected to continue over the next few years. Although the overall product demand witnessed a decline, the pandemic offered avenues for vendors to focus on encouraging the adoption of automated/robot-operated material handling systems. The year 2020 also witnessed an increased demand for battery-powered trucks to meet the growing demand that stemmed from a surge in e-commerce growth.
The surge in need for transparent supply chain processes and demand for a sophisticated system that offers flexible task operation in warehouses are presumed to be propelling factors for the material equipment market growth. The adoption of sophisticated automation systems, such as automated storage and retrieval systems, is increasingly used in warehouses for the easy storage and retrieval of raw materials and finished goods.
Plus, forklifts and electrical trucks find broad applications in the pharmaceutical and robot delivery systems in the food and beverage industry. In contrast, conveyors find applications in baggage transport systems at airports. Therefore, the expansion of the aviation industry worldwide will drive the demand for conveyor systems, which may contribute to market growth over the forecast period.
Report Scope of the Material Handling Equipment Market
|
Report Highlights |
Details |
|
Market Size |
USD 46.38 Billion by 2030 |
|
Growth Rate |
CAGR of 7.5% from 2022 to 2030 |
|
Largest Market |
Europe |
|
Fastest Growing Market |
Asia Pacific |
|
Base Year |
2021 |
|
Forecast Period |
2022 to 2030 |
|
Segments Covered |
Product, End User, Region |
|
Companies Mentioned |
BEUMER Group; Daifuku Co., Ltd.; Honeywell International Inc.; Kion Group AG; Mecalux, S.A; Murata Machinery Ltd.; SSI Schaefer AG; Swisslog Holding AG; Toyota Material Handling Group; and Vanderlande Industries B.V. |
Product Insights
The industrial trucks segment dominated the market and accounted for the largest revenue share of over 32.4% in 2021 and is estimated to witness steady growth over the forecast period. These trucks are a preferred choice due to their wide area of application in an industrial setting. Transport of heavy containers or crates in several end-use markets is undertaken using industrial trucks, thereby contributing to a larger market share. As logistic companies move towards adopting sustainable products, the demand for battery-operated trucks will gain traction over the forecast period. Although the COVID-19 pandemic hindered the sales in 2020, the market may reach pre-COVID levels by 2022, registering a CAGR exceeding 8.0% over the next seven years.
The automated storage and retrieval system segment accounted for a significant revenue share of 30.7% in 2020. This growth is attributed to warehouses enforcing social distancing amid the COVID-19 pandemic. These systems were preferred during the period as they promoted efficiency and aligned with the social distancing norms. Over the forecast period, investments in automated equipment will increase, creating lucrative opportunities in the market for material handling equipment. The automated storage-retrieval systems segment is estimated to register a CAGR exceeding 9.2% from 2022to 2030, slightly higher than the global average.
End-use Insights
The e-commerce sector dominated the market for material handling equipment and accounted for the largest revenue share of 24.2% in 2021. A sudden demand for distribution as well as delivery of essential goods including grocery items amidst the lockdown restrictions favored market growth. The impact of coronavirus will not be a short-term boost and will have a long-term impact on the industry demand creating opportunities for vendors operating in the market for material handling equipment. The demand for material handling equipment in the e-commerce sector is estimated to cross USD 14.0 billion by 2030.
In addition to the pandemic, the retail industry has always shown opportunities for massive gains, a trend that will continue over the long run, ease of online shopping has encouraged retailers to build micro-fulfillment centers that facilitate speedy product deliveries contributing to the demand for material handling equipment.
Followed by the e-commerce sector, the automotive segment accounted for a significant revenue share in the market for material handling equipment in 2021. The segment is anticipated to account for more than USD 7.0 billion by 2030. AGVs or automated guided vehicles are a preferred choice among auto vendors ascribed to the autonomy they offer while handling daily operations.
Regional Insights
Europe dominated the market for material handling equipment and accounted for the largest revenue share of 36.1% in 2021. Adoption of advanced products to support a large-scale industrial presence in the region will favor market growth. Europe has many industries ranging from food and beverage to electronics manufacturing, providing sales opportunities. In addition to industrial markets, the e-commerce sector driven by same-day delivery models has also contributed to the regional demand in 2021, a trend expected to continue over the next few years.
In the Asia Pacific, the material handling equipment market is estimated to witness a CAGR of 10.7% during the forecast period. Economies including China and India are anticipated to offer ample opportunities, subsequently helping OEMs reach broader end-user markets. The regional growth was driven mainly by the rapid uptake of e-commerce services amid the pandemic, favoring equipment sales.
Some of the prominent players in the Material Handling Equipment Market include:
Segments Covered in the Report
This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at global, regional, and country level for the period of 2017 to 2030 and covers subsequent region in its scope:
By Product
By End Use
By Geography
North America
Europe
Asia Pacific
Latin America
Middle East & Africa (MEA)
Key Points Covered in Material Handling Equipment Market Study:
Cross-segment Market Size and Analysis for Mentioned Segments
Additional Company Profiles
(Upto 5 With No Cost)
Additional Countries (Apart
From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers