Forklift Market Size - By Product, By Fuel, By Class, By End Use, Growth Forecast 2025 - 2034

Forklift Market Size

The global forklift market was valued at USD 81.8 billion in 2024 and is estimated to register a CAGR of 5.6% between 2025 and 2034. The ever-increasing popularity of e-commerce, omnichannel retail, and third-party logistics (3PL) service providers is the primary reason behind increased demand for forklifts in warehouses and distribution centers. Third party logistics market size value was reached USD 1.5 trillion in 2024 and is anticipated to grow at a CAGR of 10.1% from 2025 to 2034.
 

Players such as Walmart, Amazon, Alibaba's growing fulfillment center operations have resulted in a higher adoption of electric and automated forklifts for high-efficiency operations. Amazon India opened three new fulfillment centers in Delhi NCR, Guwahati, and Patna during September 2024, bolstering its pan-India logistics network. These FCs have a total storage area of over 1.2 million cubic feet and provide quicker delivery to customers in the North and East. This investment not only allows sellers in such states to better serve their customers but also provides the region with a significant economic boom.
 

Stringent regulations of the food, beverage, and drug industries are increasing the demand for clean, efficient, and accurate material handling equipment. Temperature-controlled cold storage warehouses, processing plants, and distribution centers need temperature-controlled forklifts to meet hygiene and safety standards required by regulating agencies including the FDA, USDA, and EU Food Safety Authority.
 

Stainless steel forklifts, automated guided vehicles (AGVs), and electric forklifts are being used more and more to offer hygienic, contamination-free, and high-speed logistics that prevent bacterial growth and spoilage of products. The advanced forklifts are also designed to resist severe temperature changes while maintaining operational efficiency and reducing maintenance expenses, which is why they become vital for industries handling perishable and sensitive materials.
 

Forklift Market Trends

• Tough emission standards, high fuel prices, and corporate social responsibility initiatives are driving the transition from internal combustion (IC) forklifts to electric forklifts. Businesses are increasingly embracing lithium-ion battery-powered forklifts with longer lifespan, reduced maintenance, and reduced environmental footprint. For instance, in September 2024, Kalmar entered into an agreement with Finnish steelmaker Outokumpu to supply three light electric and one medium electric forklift truck to help lower emissions at its Tornio stainless steel plant in Finland. The advancements in autonomous forklift technology are driving profitable growth in the forklift market.
   
• The developments, characterized by higher automation and integration of AI, improve efficiency and minimize reliance on human labor. For example, in June 2023, Cyngn Inc. announced significant progress in DriveMod to enable autonomous forklifts. DriveMod technology will be central to the development of a game-changing autonomous forklift. This innovative solution efficiently solves issues related to labor shortages and consistency that organizations traditionally face, representing its potential to revolutionize the forklift sector.
   
• Safety technologies in the forklift industry entail the incorporation of innovative features to increase workplace safety. These include features like obstacle detection systems, automatic braking, and proximity sensors to avoid collisions. Other features such as enhanced visibility features, ergonomic designs, and operator training programs also help in reducing accidents. These safety features safeguard workers and equipment and meet regulatory requirements, making forklifts with these technologies more appealing to industries that value a safe and efficient working environment.
   
• Economic growth in relation to factories and other industrial businesses boosts the forklift industry. Increase in the scale of industrial production and operations makes efficient material handling a necessity. Intra facility logistics are constantly reduced, most effortlessly using forklifts master’s at lifting and moving heavy loads. Efficient material handling has direct relationships with industrial growth which makes forklifts crucial and increases their demand and further growth of the industry.
   

Forklift Market Analysis

Based on fuel, the market is divided into diesel, electric and gasoline & LPG/CNG. In 2024, the electric segment held a market share of over 70% and is expected to cross USD 100 billion by 2034.
 

• Authorities are setting more stringent emission controls to reduce carbon footprint and are mandating corporations to shift internal combustion forklifts to electricity. Controls like the EU Fit for 55 proposal, zero-emission policy of California, and green logistic initiatives of China are making industries replace diesel-powered forklifts with electricity and hydrogen fuel cell forklifts. Concurrently, corporate ESG (Environmental, Social, and Governance) goals are encouraging industries to adopt low-emission material handling solutions, driving the forklift market.
   
• Advancements in lithium-ion and hydrogen fuel cell technology have made electric forklifts more efficient, with higher runtimes, quicker charging, and reduced maintenance costs than lead-acid battery models. Increasing visibility of fast-charging stations, wireless charging systems, and improved battery swap arrangements within warehouses and distribution centers is lessening range anxiety, making electric forklifts more viable for heavy-duty operations.
   
• Market players are introducing lithium-ion electric forklifts. For example, in July 2024, Hyster Company launched the E80XNL, an 8,000-pound capacity electric forklift with a lithium-ion battery. As a heavy-duty alternative to internal combustion (ICE) trucks, it provides dependable performance, improved ergonomics, enhanced energy efficiency, zero emissions, and reduced noise.
   

Based on end use, the forklift market is segmented into chemical, food & beverage, industrial, logistics, retail & e-commerce and others. The retail & e-commerce segment dominated the market with revenue share of 30% in 2024.
 

• Increasing last-mile delivery and urban warehousing have spawned the demand for space-reducing, extremely maneuverable forklifts that can fit within tiny storage areas and high-density environments. Grocery and other retailers are investing in Class III and Class II forklifts to enhance turnover of inventory and maximize storage space in micro-fulfilment centers and automated retailing hubs.
   
• With the rising demand for delivery of fresh and frozen foods, store operators are pouring money into refrigerated logistics chains, driving high demand for purpose-built forklifts for cold storage usage. Corrosion-proofed electric forklifts equipped with lithium-ion batteries are finding growing applications for handling sub-zero temperatures in chillers as well as delivering on efficiency requirements.
   
• The rise of e-commerce giants like Amazon, Alibaba, and Walmart has drastically increased the need for efficient material handling equipment within warehouses. With the evolution of one-day or same-day delivery demands, warehouses must maximize inventory motion, minimize picking activities, and meet faster order fulfilment, thus enhancing the need for automated and electric forklifts in order to enhance productivity.
   
• Demand for flexible and fleet-managed forklifts is driven by outsourcing logistics functions to third-party logistics (3PL) service providers. 3PL organizations run multi-client warehouses with heterogeneous inventory, driving the demand for flexible and telematics-enabled forklifts with real-time location, predictive maintenance, and fleet management to allow streamlined operations between several facilities.
   

Based on product, the forklift market is segmented into warehouse and counterbalance. The warehouse segment held a market share of around 55% in 2024.
 

• Modern warehouses require flexible forklifts to manage erratic loads of different sizes, navigate in high-rack storage environments, and allow quick load switching. Reach trucks, order pickers, and turret trucks with high maneuverability and adjustable height are increasingly demanded for optimizing space and increasing inventory control.
   
• AI, IoT, and robotics integrating with warehouse operations are bringing about the increased utilization of autonomous guided vehicles (AGVs) and self-driving forklifts. Businesses are employing self-driving forklifts equipped with LiDAR cameras and real-time fleet management systems to enhance safety, space efficiency, and reduce manpower reliance in congested storage areas.
   
• Counterbalance forklifts are universally used in manufacturing, distribution, and retail industries because they can lift various types of loads indoors and outdoors. Counterbalance forklifts have greater weight capacities compared to warehouse forklifts and can load/unload products from trucks effectively, making them necessary for shipping yards and logistics centers.
   

Based on class, the forklift market is categorized into Class I, Class II, Class III, Class IV, Class V and others. The Class III segment is expected to reach over USD 60 billion by 2034.

• With warehouses focused on increasing worker efficiency and reducing labor, electric pallet jacks and walkie stackers are being put to work to increase efficiency in retail distribution centers and loading docks. Due to their inexpensive, ergonomic construction and simplicity, they are a very desirable choice for small and mid-size warehouse operators.
   
• Urban logistics and dispersed distribution networks are fueling the need for forklifts that are lightweight and agile and can navigate limited storage spaces with ease. Walkie stackers and order pickers are all Class III forklifts that play critical roles in last-mile distribution facilities, grocery warehouse, and backrooms of stores, where it is critical to maximize space while maneuvering within them.
   
• With increasing warehouse rental costs, companies are spending money on reach trucks and narrow-aisle trucks to maximize storage space. Class II forklifts are specifically designed for high-density warehousing, allowing companies to optimize space by reducing aisle width while improving access to high-rack inventory.
   

Asia Pacific region dominated the global forklift market with a major share of over 50% in 2024 and the China leads the market in the region.
 

• The huge growth of e-commerce companies such as Alibaba, Flipkart, and Rakuten is driving demand for forklifts in warehouses and distribution centers. Companies are also spending immensely on electric forklifts and automated forklifts to boost productivity in warehouses.
   
• Japan, South Korea, and India are also leading the way in adopting smart factories and automation-based logistics. Government incentives for implementing robotics and material handling equipment are driving demand for AGVs and electric forklifts.
   
• As the world's largest manufacturing hub, China has an enormous demand for forklifts in industries like automotive, electronics, and heavy machinery. Market size is growing due to the establishment of industrial parks and production bases. According to data published by the United Nations Statistics Division, China accounted for 31 percent of global manufacturing output in 2022. That leaves the country almost 15 percentage points ahead of runner-up the U.S.
   
• China is replacing diesel forklifts with electric and hydrogen-powered forklifts to cut carbon emissions. Government regulations and subsidies on clean energy forklifts are driving the change.

The forklift market in the U.S. is expected to experience significant and promising growth from 2025 to 2034.
 

• The increasing need for faster order fulfillment and warehouse automation is fueling demand for robotic material handling systems and autonomous forklifts in North America. Walmart and Amazon are adding AGVs to their supply chain. Infrastructure, real estate, and city development spending is fueling demand for heavy-duty on-site logistics construction material handling and construction heavy-duty forklifts.
   
• Growing demand for cold chain logistics across food and drug sectors in the U.S. is driving demand for temperature-proof forklifts in refrigerated storage warehouses.
   
• American companies are shifting towards zero-emission forklifts, with fuel-cell technology and lithium-ion batteries emerging as significant alternatives to diesel-powered forklifts. Hyster-Yale and Toyota Material Handling are among the first ones to lead these innovations.
   

The Germany forklift market is expected to expand significantly from 2025 to 2034.
 

• The EU's stringent emission norms and diesel forklift prohibitions in city centers are pushing companies toward electric and hybrid forklifts for sustainable warehouse operations.
   
• Expansion of third-party logistics (3PL) providers like DHL, XPO Logistics, and Geodis is generating demand for high-capacity and automated forklifts in European distribution warehouses.
   
• Germany's leadership in Industry 4.0 and warehouse automation is driving orders for AI-enabled, sensor-equipped, and half-autonomous forklifts among logistics and manufacturing companies.
   
• As the largest automobile hub in Europe, Germany requires industrial-grade forklifts for the transportation of automobile components, metal, and plant machinery within factory sites and terminals.
   

Forklift Market Share

• The top 5 companies of Forklift industry are Toyota Industries Corporation, KION Group AG, Crown Equipment Corporation, Jungheinrich AG and Hyster Yale. They collectively hold a market share of around 45% in the market.
   
• Toyota Industries is investing in electric and hydrogen fuel-cell tech to achieve sustainability targets and emissions regulations. The company is broadening its line of lithium-ion and fuel-cell forklifts and enhancing charging infrastructure and hydrogen alliances.
   
• KION Group, in its subsidiary Dematic, is emphasizing automated guided vehicles (AGVs) and warehouse automation. With AI-powered logistics, KION is solidifying its position in smart warehousing and e-commerce logistics.
   
• Crown Equipment is also investing in fleet management technologies like Crown's InfoLink system, which provides real-time data and remote diagnostics. This improves warehouse productivity and predictive maintenance.
   
• Jungheinrich is innovating battery technology and energy efficiency, especially for lithium-ion forklifts. Jungheinrich has built battery production facilities and offers energy management systems to save costs and extend the life of forklifts.
   
• Hyster-Yale is developing zero-emission forklifts, including hydrogen fuel-cell trucks for heavy-duty use. It is working with clean energy suppliers to promote the use of fuel-cell forklifts in industries like automotive and logistics.
   

Forklift Market Companies

Major players operating in the forklift industry include:

• Anhui Heli
• Bobcat (Doosan)
• Clark Material Handling
• Crown Equipment
• Hangcha Group
• Hyster Yale
• Jungheinrich
• KION
• Mitsubishi Logisnext
• Toyota
   

The forklift industry is characterized by fierce competition among established players and new entrants seeking to increase their market share through acquisitions, joint ventures, and technological innovation. Businesses are investing in automation, electrification, and IoT-based solutions to improve operational efficiency and safety in material handling.
 

Strategic acquisitions and mergers, as well as expansion in emerging markets, are imperative growth initiatives as companies seek to enhance their international presence. Implementing AI-based fleet management, driverless forklifts, and energy-saving models is becoming increasingly important as companies are prioritizing lowering operating costs and enhancing warehouse productivity.
 

As e-commerce, 3PL logistics, and smart warehouses have emerged, the need for intelligent, high-performance forklifts has increased. Companies are actively realigning their strategies to address changing industry requirements, with an emphasis on sustainability, automation, and compliance to stay competitive in the marketplace.
 

Forklift Industry News

• In November 2024, Linde launched electric forklift trucks consisting of two model series with a total of 26 three- and four-wheeled models with lifting capacities ranging from 1.0 to 2.0 tons. These forklifts include innovations in material selection, design, safety, operator comfort, maneuverability, and performance. The Linde 1251 series succeed the Linde 386 series, which had more than 200,000 units sold worldwide on its 18-year market presence. These highly versatile forklifts are applicable to any number of internal logistics activities, ranging from light day-to-day transportation to heavy multi-shift operation, and operate smoothly in a wide range of environments.
   
• Godrej & Boyce introduced lithium-ion battery-powered forklifts with an indigenously developed Battery Management System (BMS) in August 2024, which was co-developed with Log9 Materials. The company is progressing towards 100% localization of the cells next year, plugging a significant gap in India's material handling sector with an indigenous and safe Li-Ion battery solution, which it claims is the first by an Indian firm. Additionally, Godrej & Boyce will be making use of this technology in its other material handling products, the industries benefiting from which will include automotive, FMCG, consumer durables, retail (also e-commerce), pharmaceuticals, and other mass manufacturing industries.
   
• US-based Hyster launched in August 2024 the completely electric Hyster J2.0-3.5XTLG forklift range, which is powered by lithium-ion batteries with a lifting capacity of up to 3.5 tonnes. Built for indoor and outdoor use, these forklifts are designed for the wood, metal, chemicals, and building materials industries, providing a tough, versatile, and emissions-free option. Hyster points out that their performance is equal to combustion engine versions and is thus applicable for industrial warehouses, logistics terminals, and loading docks.
   
• In June 2024, Toyota Material Handling Japan (TMHJ) and Fujitsu Limited (Fujitsu) launched Japan's first AI-based forklift safety analysis service. The cloud-based service, provided through TMHJ's FORKLORE IoT subscription package, uses TMHJ's logistics know-how and Fujitsu's Kozuchi AI service on the Fujitsu Data Intelligence PaaS. Optimized for dynamic settings such as situations in factories and logistics warehouses, the service leverages AI learned from forklift operations and safety-check habits to process dash cam video, detect potentially hazardous situations automatically, and produce safety scorecards for the operators. By highlighting potential hazards and offering objective feedback, it promotes safety consciousness, facilitates training, and saves considerable time in reviewing videos.
   

The forklift market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue ($Bn) and shipment (Units) from 2021 to 2034, for the following segments:

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Market, By Product

• Warehouse
• Counterbalance

Market, By Fuel

• Diesel
• Electric
• Gasoline & LPG/CNG

Market, By Class

• Class I
• Class II
• Class III
• Class IV
• Class V
• Others

Market, By End Use

• Chemical
• Food & beverages
• Industrial
• Logistics
• Retail & e-commerce
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
  • Southeast Asia 
• South America
  • Brazil
  • Argentina
  • Chile
  • Colombia
• MEA
  • UAE
  • South Africa
  • Saudi Arabia