PUBLISHER: The Business Research Company | PRODUCT CODE: 1435445
PUBLISHER: The Business Research Company | PRODUCT CODE: 1435445
Materials handling encompasses the movement of raw goods, manipulation in manufacturing, and the distribution of finished products.
Primary types include automated guided vehicles, automated storage and retrieval systems, trucks, cranes, pallet racking, conveying systems, hoists, among others. Pallet racking supports stacking single items or palletized loads in storage systems. Operations span assembly, distribution, transportation, among others, serving industries such as food and beverages, automotive, construction, consumer goods, pharmaceuticals, e-commerce, and more.
The material handling market research report is one of a series of new reports from The Business Research Company that provides material handling market statistics, including material handling industry global market size, regional shares, competitors with a material handling market share, detailed material handling market segments, market trends and opportunities, and any further data you may need to thrive in the material handling industry. This material handling market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The material handling market size has grown strongly in recent years. It will grow from $40.45 billion in 2023 to $44.46 billion in 2024 at a compound annual growth rate (CAGR) of 9.9%. The growth observed in the historical period is linked to industrialization, manufacturing expansion, the rise of e-commerce, the establishment of global supply chain networks, adherence to safety and ergonomics standards, as well as various efficiency and cost reduction initiatives. These elements collectively contributed to the advancement of materials handling during that period.
The material handling market size is expected to see strong growth in the next few years. It will grow to $64.85 billion in 2028 at a compound annual growth rate (CAGR) of 9.9%. The forecasted growth in materials handling is linked to the upward trajectory of e-commerce, automation and robotics integration, sustainability initiatives, smart warehousing adoption, and adaptability to market changes, while major trends include AR for training, predictive maintenance, customization, human-robot collaboration, and blockchain for supply chain transparency.
The material handling market has experienced growth, primarily fueled by the expansion of the e-commerce industry. Notably, in September 2022, the International Trade Administration reported that consumer e-commerce constitutes 30% of the UK's overall retail sector, with an annual revenue exceeding $120 billion. The surge in online shopping, accelerated by the COVID-19 pandemic, has driven the demand for material handling services. Industry players are responding by focusing on developing customized equipment and systems, such as engineered systems, smart warehousing, and remotely tracked transport vehicles. This emphasis on innovation is anticipated to propel the material handling market, considering the sustained growth in the e-commerce sector and changing consumer preferences favoring online shopping.
The material handling market is expected to further thrive due to the ongoing expansion in the construction industry. This sector encompasses processes involved in delivering buildings, infrastructure, industrial facilities, and associated activities throughout their lifecycle. Material handling in construction aims to enhance efficiency in material flow, reduce handling costs, improve facility utilization, enhance safety, facilitate construction processes, and boost overall productivity. According to a September 2021 report by Oxford Economics, global construction output reached $10.7 trillion in 2020, and it is projected to increase by 42%, or $4.5 trillion, between 2020 and 2030, reaching $15.2 trillion. The robust growth in the construction industry is a key driver for the material handling market, as it necessitates efficient and effective material handling processes to support construction activities.
Safety poses a significant challenge in the material handling market, particularly on construction sites, where material handling equipment plays a crucial role. Construction sites are prone to accidents related to material handling operations, necessitating continuous monitoring and adherence to safety measures. The diverse material handling operations on construction sites, such as hoisting heavy loads with cranes, driving trucks loaded with construction materials, and operating various equipment such as hydraulic excavators, lifting devices, and conveyor systems, contribute to the risk. Lack of operational experience among workers often leads to accidents and fatalities. For instance, a study published in the Sciendo Journal of Engineering in October 2023 highlighted that 46% of all reported workplace accidents in Saudi Arabia were associated with the construction industry. Falls from height accounted for 27% of the recorded cases in the construction sector, indicating the severity of safety concerns. The lack of safety measures and inexperienced workers on construction sites increases the likelihood of accidents in material handling operations, potentially having a negative impact on the material handling market. Addressing these safety challenges becomes crucial for sustaining a safe working environment and ensuring the positive growth of the material handling market in the construction sector.
The material handling market is witnessing the emergence of lithium-ion technology as a significant trend. Lithium-ion (Li-ion) batteries are gaining popularity due to their environmental friendliness and higher energy densities compared to lead-acid or nickel-metal hydride batteries. Li-ion batteries are particularly preferred for electric vehicles used in material handling, offering advantages such as higher energy storage capacity, lightweight construction, rapid charging, and elimination of cool-down intervals. For instance, in July 2023, Hyundai Material Handling introduced the B-X Electric Pneumatic Lithium Series, allowing forklift owners to opt for a lithium truck package comprising a truck, a lithium battery, and a charger. This series, with its energy-efficient design and capacities ranging from 5,000 to 7,000 lbs, leverages lithium-ion battery technology to deliver extended runtimes, quick charging, and zero emissions.
Major players in the material handling market are intensifying their focus on innovation, introducing a range of new products and solutions to stay competitive. These innovations aim to enhance efficiency, versatility, and overall performance, prioritizing operator comfort. For example, in May 2023, Toyota Material Handling (TMH) launched three new electric forklift models including the Side-Entry End Rider, a Center Rider Stacker, and an Industrial Tow Tractor. These models provide next-generation adaptability, efficiency, and performance, placing a strong emphasis on operator comfort. The Side-Entry End Rider, suitable for order pickup and cross-warehouse movement, features an automatic parking brake and standard power steering for increased uptime and reduced energy costs. The Center Rider Stacker boasts an inventive three-in-one design, combining the functions of a center rider, order picker, and counterbalanced forklift. The Industrial Tow Tractor, with a towing capacity of 15,000 pounds, offers electric power steering for effortless driving, enhanced ergonomics, and superior control. These innovations demonstrate a commitment to advancing technology and providing superior solutions in the material handling industry.
In January 2022, Hy-Tek Holdings (Hy-Tek), a leading US-based provider of material handling solutions, successfully acquired Advanced Handling Systems, LLC (AHS) for an undisclosed sum. This strategic acquisition positions Hy-Tek Holdings to expand its offerings in material handling and integrated systems, providing a more comprehensive range of solutions. The incorporation of AHS's robotic solutions into Hy-Tek's portfolio enables the delivery of cutting-edge technology aimed at optimizing fulfillment processes, accelerating distribution operations, and addressing challenges associated with labor shortages. AHS, a material handling automation integrator based in the United States, specializes in providing innovative material handling and storage products to diverse industries, including 3PL, ecommerce, retail, wholesale, food and beverage, and healthcare sectors.
Major companies operating in the material handling market report are Mitsubishi Logisnext Co.Ltd., Komatsu Ltd., Toyota Industries Corporation, Liebherr Group, Doosan Corporation, Kion Group AG, Jungheinrich AG, Crown Equipment Corporation, Daifuku Co. Ltd., Cascade Corporation, Hyster-Yale-Materials Handling, Dematic Group, Manitou Group, Hangcha Group Co. Ltd., SSI Schaefer Systems International, Hoist Liftruck Mfg. Inc., Anhui Heli Co. Ltd., Clark Material Handling Company, Columbus McKinnon Corporation, Raymond Corporation, Bastian Solutions LLC, Eisenmann AG, Godrej & Boyce Manufacturing Co. Ltd., Hytrol Conveyor Co., Combilift Ltd., Viastore Systems, Schaefer Systems International Pvt. Ltd., EMH Inc., Carolina Material Handling Services Inc., Beumer Group, KUKA AG, AGV International, TGW Logistics Group, Interroll Group
Asia-Pacific was the largest region in the material handling market in 2023. Western Europe was the second-largest region in the global material handling market share. The regions covered in the material handling market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the material handling market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The materials handling market includes revenues earned by entities by automatic guided vehicles (AGVs), automatic identification and data collection, casters and wheels, controls, conveyors, dock equipment, and ergonomics. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Material Handling Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on material handling market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for material handling ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The material handling market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.