About the Report
Sales of pallet trucks have a direct correlation to consumption patterns and this has historically been the single largest determinant of the market. Due to this very reason, the market has seen a boom in East Asia in the past couple of decades, thus shifting the regional epicentre of the market from North America to East Asia.
Besides geographic consumption patterns, the mode of consumption is the other key factor for pallet trucks. This makes e-commerce and retail closely watched spaces by the market’s key players. Notably, all of these factors have undergone major shifts due to the Covid-19 pandemic.
E-commerce sales witnessed an unforeseen spurt in 2020 as the Covid-19 pandemic forced consumers to turn to the online medium for commodities they would otherwise have shopped for in person. The e-commerce space in the United States alone grew by 44 percent in 2020 with a staggering US$861.12 billion worth of sales. This percentage was not an exception but rather a norm in the pandemic year.
The boom in e-commerce also meant that most e-commerce companies registered huge profits and bought pallet trucks in large quantities. However, the growth in ecommerce did not translate into an overall growth in consumption.
Consumption across the world was hit due to the economic downturn caused by the Covid-19 pandemic. Except China, nearly all major economies recorded contractions in 2020. Even developing economies like India and Indonesia saw a reversal in their growth trends and fell by huge margins; India’s economy declined by around 5.5 percent while Indonesia’s declined by around 3 percent.
What worries the market more is that both these populous countries (collectively around 20 percent of the world population), are largely consumption-based economies. And yet, a global economic recovery seems imminent with the success of national vaccination programmes. Given these ground realities, the demand for pallet trucks will be subject to various push and pull factors.
Evolution in Pallet Trucks Industry
Pallet Trucks, as considered under the scope of the report, are used in warehouses for effective storage and supply of consumer goods.
The global Pallet Trucks market is estimated to be valued at US$ 29,734.6 Mn by 2018 end and is expected to expand in the coming years at a CAGR of 6.8% in terms of volume over the forecast period. The market is anticipated to represent a huge incremental opportunity between 2018 and 2028. In terms of volume, the market is estimated to exhibit attractive growth rate over the forecast period.
E-Commerce warehousing demand to drive market growth
On the basis of end use, the market can be segmented into food & beverage, retail stores, wholesale distribution, freight & logistics and manufacturing and others. The wholesale distribution segment is expected to account for a sizable share of the overall market by the end of forecast period. Growth of demand for pallet trucks is predominantly driven by the development of large-scale industrial projects in developing economies of South East Asia Pacific, Middle East & Africa, India and China.
The companies involved in the supply chain services are focusing on the development of big storage facilities and enhancing logistics capabilities. Attributing to growth in the living standards of people, there has been a rise in the demand for wholesale distribution of consumer products in the Asia Pacific region. This is expected to drive the demand for warehousing, which in turn, will drive the demand for pallet trucks in the coming years.
The growth of new sales channels is expected to create revenue generation opportunities for increasing sales of pallet trucks in these regions. Industrial markets are witnessing huge demand for warehousing operations due to the growing consumer demand. As a result, the requirement of material handling equipment and storage as well as efficient supply will create demand for Pallet Trucks. Adding to this, growth in sectors such as retail, FMCG (Fast Moving Consumer Goods) and pharmaceutical industries will boost the Pallet Trucks demand, especially in developing parts of the globe.
Market Research Methodology - Perfected through Years of Diligence
A key factor for our unrivaled market research accuracy is our expert- and data-driven research methodologies. We combine an eclectic mix of experience, analytics, machine learning, and data science to develop research methodologies that result in a multi-dimensional, yet realistic analysis of a market.
China, India and SEAP to register relatively high value and volume CAGR among all regions
China’s market holds a major value share in the global market and is likely maintain its dominance over the forecast period. The market in the region is projected to represent a significant incremental opportunity between 2018 and 2028. The steady growth in the developing countries economy and globalization will create positive impact over Pallet trucks demand required for increasing demand of end use products.
Moreover, the increasing effort from the end users to efficiently utilize supply chain will create demand for Pallet Trucks to handle large number of transaction expected to further increase in the coming years as well. The warehouses owned by the companies will be shifting towards mechanization through Pallet trucks and integrate with warehouse management systems to handle complex environments of future. FMI anticipate that massive amount in the developing countries will be invested in warehousing needs in the coming years ultimately driving demand for Pallet trucks.
China is expected to create attractive opportunities for the Pallet Trucks manufacturers followed by countries located in the South East Asia & Pacific and India. The SEAP and India market is estimated to expand at a significant CAGR in terms of value and volume over the forecast period. Sales of Pallet Trucks in Western Europe is projected to represent a total incremental opportunity of US$ 5,483.9 Mn between 2018 and 2026, while the Eastern Europe market is also anticipated to witness significant growth.
Pallet Trucks Market: Competitive Landscape
Examples of some of the market participants in this study of global Pallet Trucks market include
On the basis of control, the market is segmented into,
- Semi Electric
- Compressed Natural Gas (CNG)
On the basis of type, the global market is segmented into,
On the basis of load capacity, the market is segmented into,
- Below 2000 KG
- 2000-4000 KG
- 4000-6000 KG
- Above 6000 KG
The fourth section includes the analysis of the market on the basis of end use and it is segmented as,
- Food & Beverage
- Retail Stores
- Wholesale Distribution
- Freight & Logistics