Report: Demand for pallet trucks to soar

Originally published on Modern Materials Handling

According to a report from Fact.MR, the global pallet trucks market is poised to grow at a positive CAGR of ~ 6.9% over the forecast period (2019-2028).

 

According to a report from Fact.MR, the global pallet trucks market is poised to grow at a positive CAGR of ~ 6.9% over the forecast period (2019-2028). The market has witnessed significant traction in the past couple of years owing to penetrative e-commerce and heightened demand for warehouses. The use of material handling equipment in warehouses for shipment of goods has boosted the adoption of Pallet trucks to facilitate movement and storage.

The soaring demand for material handling equipment to enhance functional efficiency is further foreseen to augment the growth prospects of the pallet trucks market. The utilization of pallet trucks to enhance workplace safety and productivity are some of the factors further reinforcing its adoption. Owing to the proliferation of pallet trucks with technological advancements such as automated guided vehicles and growth of Logistics & Wholesale distribution, the market is foreseen to auger well over the forecast period.

  • Electric and compressed natural gas based pallet trucks account for over 73% of the overall absolute dollar opportunity in global pallet trucks market by the end of the forecast period
  • Collectively, Quarter and silent pallet trucks types are anticipated to hold ~35% in the overall incremental value opportunity over the projection period.
  • Standard pallet trucks account for ~61% of the overall market share due to its benefits, such as high quality components and higher efficiency. This segment is estimated to register significant growth throughout the forecast duration.
  • Wholesale distribution and logistics are the key sectors giving an uptick to pallet trucks demand, owing to which these segments are estimated to account for over 44% of value share in the overall market.
  • South East Asia & Pacific are foreseen to expand ~2X by the end of the forecast period
  • “The Adoption of Electric Vehicle (EV) Technology in the Freight Sector is Foreseen to Open New Growth Avenues for Pallet Trucks Manufacturers”, says a report analyst.

The report reveals some of the prominent market players, including Toyota Industries Corporation, Kion Group, Mitsubishi Logisnest Company, Jungheinrich AG, and Crown Equipments who are continuously focusing on geographical expansion and partnerships with prominent manufacturers with industrial expertise in order to increase their presence in the global market.

For instance,

  • In January 2019, Germany’s Kion Group AG plans to expand its factory in Summerville, S.C., in a move to escape a 25% tariff that the U.S. levied on forklifts imported from China.
  • In April 2019, the assets of Hoist Liftruck Mfg., LLC, have been acquired by Toyota Industries North America, Inc.
  • In April 2018, Mitsubishi Forklift America Inc., has expanded its forklift parts facility footprint to include a new regional distribution center in Dallas, Texas.