Global Material Handling Equipment Market by Product (Industrial Trucks, Automated Storage & Retrieval System, Storage & Handling Equipment) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

Global material handling equipment market was valued at USD 26.3 billion in 2020. It is projected to grow at a compound annual rate (CAGR of 7.4%) between 2021 and 2028. More than 50.0% of factory owners believe that new projects may be put on hold or delayed due to the coronavirus pandemic. Close to 30% of factory owners anticipate that they will adjust their sales revenue to accommodate ongoing projects. If OEMs are aiming to become digitally transformed, these statistics don't bode well for market growth. Market growth is expected to be possible through investments in power and battery technology.

Despite the uncertainty caused by the coronavirus epidemic, government initiatives are favorable and support new infrastructure development around the world. This will create growth opportunities for the material handling equipment market over the forecast period. In order to attract foreign investment, countries such as India, China and Southeast Asia are encouraging infrastructure development and industrial growth, which in turn creates opportunities for growth. Public infrastructure development includes the construction of airports, rail networks and seaports as well as power plants and other facilities. These activities could favor the adoption material handling equipment during the forecast period. Even though demand for industrial applications suffered a slight setback in 2020 due to the pandemic, e-commerce saw unprecedented growth which helped maintain market growth. Market growth was aided by a healthy demand for grocery products and their distribution during the lockdown. The pandemic, in addition to the OEMs and supply chain companies, has prompted them to look into tools that can help them make informed decisions when AI implementation is required to analyze large volumes of data. Combining data-driven insights with hindsight can help to build a resilient supply network that is supported by technological advances.

The One Belt One Route (OBOR), also known as China's Belt and Road Initiative (BRI), will be a lucrative opportunity for the material handling equipment industry. Opportunities for growth will be provided by the initiative to link a network rail and road routes between China and Europe via the Middle East. Other initiatives like these will be a boon for the material handling industry in the coming years.

According to the 2021 Automation Solutions Survey Study, the COVID-19 pandemic caused the need for fully automated manufacturing solutions. Companies will increase their investments in automation over the coming years. Companies plan to upgrade their sortation and conveyor systems in the next two-years. Several medium-sized companies have changed their plans to buy or upgrade new equipment due to the pandemic.

Product Insights

The market was dominated by the industrial trucks segment, which accounted for over 30% of the total revenue in 2020. It is expected to continue growing over the forecast period. Because of their versatility, these trucks are highly preferred in the industrial environment. Industrial trucks are used to transport heavy containers and crates across multiple end markets. This helps them gain a greater market share. The demand for battery-operated trucks is expected to grow as logistic companies adopt sustainable products. Despite the COVID-19 pandemic affecting sales in 2020, there is a possibility that the market will reach pre-COVID levels in 2022 and register a CAGR of 7.0% over the next seven year.

In 2020, the automated storage and retrieval systems segment was responsible for 28.2% of all revenue. This is due to warehouses that enforce social distancing during the COVID-19 pandemic. These systems were popular during this period because they promoted efficiency, and were aligned to the social distancing rules. The market for material handling equipment will see a rise in investments in automated equipment over the next few years. The segment of automated storage-retrieval system is expected to grow at a rate exceeding 8.0% between 2021 and 2028, which is slightly higher than the global average.

End Use Insights

E-commerce dominated the market in material handling equipment, accounting for 23.2% of the total revenue share. Market growth was facilitated by a sudden demand for distribution and delivery of essential goods, including groceries, despite the lockdown restrictions. Coronavirus's impact will not provide a temporary boost but will have a long-term effect on industry demand, creating opportunities for vendors in the material handling equipment market. By 2028, the demand for material handling equipment within the e-commerce industry is expected to exceed USD 10.0 billion.

The pandemic has not been the only reason for the retail sector to show massive opportunities. Online shopping has encouraged retailers and distributors to set up micro-fulfillment centres that enable quick product delivery, contributing to the increase in demand for material handling equipment.

The e-commerce sector was closely followed by the automotive segment, which accounted for a substantial revenue share of the market for material handling gear in 2020. This segment is expected to be worth more than USD 5.8 billion by 2028. Auto vendors prefer AGVs, or automatic guided vehicles to manage daily operations.

Regional Insights

Europe was the dominant market for material handling equipment in 2020, accounting for 34.1% of the total revenue. Market growth will be supported by the adoption of advanced products that support large-scale industrial presence within the region. There are many opportunities for sales in Europe, with many industries from electronics manufacturing to food and beverage. The rise of e-commerce, which uses same-day delivery models to drive regional demand, has contributed to Europe's industrial market in 2020. This trend is expected to continue for the next few years.

The Asia Pacific market for material handling equipment is expected to grow at 9.7% over the forecast period. China and India, as well as other economies, are expected to provide ample opportunities for OEMs. This will allow them to reach wider end-user markets. The rapid adoption of e-commerce services during the pandemic was a major driver of regional growth. This favors equipment sales.

Market Share Insights & Key Companies

The market for material handling equipment has a strong concentration and is characterized by fierce competition. Vendors aim to adopt both organic and inorganic strategies as part of their growth strategy. Toyota Material Handling, a subsidiary of Toyota Industries Corporation launched the Mole and Mouse Automated Guided Carts in April 2021. Customers will be able to automate repetitive tasks for warehouses, distribution centers, assembly lines and manufacturing plants with the product. Vanderlande Industries B.V., one of the logistics automation providers, also introduced HOMEPICK in July 2020. This is a goods to person (GtP), picking solution. This product is a complement to its automated storage-retrieval system (AS/RS), and allows for online grocery orders.

Key vendors focus on acquisitions and mergers to strengthen their market presence. Daifuku Co., Ltd, a manufacturer of material handling equipment, bought Vega Conveyors and Automation Private Limited in April 2019. This acquisition will allow Daifuku Co., Ltd to increase its market presence in India and other APAC countries. In February 2019, Toyota Industries Corporation purchased Hoist Liftruck Mfg. LLC. This acquisition will help Toyotaexp expand its product portfolio and increase its North American customer base. The market leader in material handling equipment is:

• 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

• Vanderlande Industries B.V

Up Market Research published a new report titled “Material Handling Equipment Market research report which is segmented by Product (Industrial Trucks, Automated Storage & Retrieval System, Storage & Handling Equipment), By Players/Companies BEUMER Group, Honeywell International Inc, Kion Group AG, Daifuku Co Ltd, Swisslog Holding AG, Mecalux SA, Toyota Material Handling Group, Vanderlande Industries BV, Murata Machinery Ltd, SSI Schaefer AG”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Material Handling Equipment Market Report Segments:

The market is segmented by Product (Industrial Trucks, Automated Storage & Retrieval System, Storage & Handling Equipment).

Material Handling Equipment Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Material Handling Equipment Market

Overview of the regional outlook of the Material Handling Equipment Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Material Handling Equipment Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Material Handling Equipment Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Industrial Trucks

                2. Automated Storage & Retrieval System

                3. Storage & Handling Equipment

7. Market scenario by region, sub-region, and country.
8. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
9. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
10. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Material Handling Equipment Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the Material Handling Equipment Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.