The burgeoning e-commerce businesses and increased automation in the logistics sectors are driving demand for material handling equipment. Liebherr Group, KION Group AG, Jungheinrich AG, Viastore Systems GmbH, Eisenmann AG, and others are the top five important participants in the global Material Handling Equipment market.

NEWARK, Del, March 04, 2025 (GLOBE NEWSWIRE) -- The global material handling equipment market is poised for significant growth over the next decade. In 2025, the market size is estimated at USD 4.8 billion, with projections indicating an increase to USD 7.2 billion by 2035. This growth corresponds to a Compound Annual Growth Rate (CAGR) of 4.2% from 2025 to 2035.

The burgeoning e-commerce businesses and increased automation in the logistics sectors are driving demand for material handling equipment. Liebherr Group, KION Group AG, Jungheinrich AG, Viastore Systems GmbH, Eisenmann AG, and others are the top five important participants in the global Material Handling Equipment market.

According to a recent FMI report, material handling equipment sales will increase between 2025 and 2035, creating a growth potential of USD 7.2 billion. This expansion potential is due to the increasing industrial sectors throughout the world, which are requiring an increase in material handling equipment.

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During the forecast period, the expanding industrial and factory automation with increased technology and process automation is expected to generate a development opportunity for the global Material Handling Equipment market. Manufacturers, factory owners, and industry personnel are more focused on lowering the hard labor and process timing of goods and products movement and transportation. The expansion of industries such as transportation, agriculture, courier services, shipping, and machinery is driving up demand for material handling equipment in the global market.

The growing trend toward factory automation is boosting the need for automated material handling equipment. The production process, including material handling and transportation, has become complex as a result of a lack of current technology deployment and effective management. Manufacturers are utilizing established systems for material management and transportation to tackle this complexity. The increasing manufacturing automation enables them to reduce transportation duty and costs. The use of new technology is streamlining the production process as a whole.

Factory automation involves the installation of automated material handling equipment, such as robots and electronic devices, at the production site to transport, push, pull, and store materials and products. This automation is replacing human labor in manual transportation tasks and fueling market development from 2025 to 2035.

Key Drivers of Growth

1. Growing Industrialization and Automation:
   • The increasing trend towards industrial automation and the adoption of Industry 4.0 technologies are driving demand for advanced material handling solutions. This includes the integration of IoT, AI, and robotics to enhance operational efficiency and productivity.
2. Warehouse Automation and E-commerce:
   • The rise of e-commerce has led to a surge in demand for sophisticated warehouse automation solutions, including AGVs, conveyor systems, and robotic material handling. These solutions improve logistics efficiency, reduce labor costs, and enhance customer satisfaction.
3. Smart and Networked Solutions:
   • Businesses are increasingly adopting smart and networked material handling solutions to leverage benefits like predictive maintenance, real-time location tracking, and operational visibility. This helps in optimizing supply chains and reducing operational costs.
4. Sustainability and Energy Efficiency:
   • There is a growing focus on sustainable material handling equipment, such as power-saving, battery-powered, and hybrid solutions. These not only reduce carbon footprints but also lower operating costs, making them attractive to environmentally conscious consumers.

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Which Drivers underpin Material Handling Equipment Industry Expansion?

Rising Use of Material Handling Equipment to Accelerate the Market Growth

The material handling equipment market is being driven by the rising use of the goal of employing material handling equipment is to improve customer service by making it easier for customers to find, transfer, and send any product or products they desire. The use of material handling equipment can reduce the time it takes to transfer things from one location to another. When items are handled physically for transit and movement, there is a danger that they will be harmed.

Product damage may be reduced by using material handling equipment to convey materials in a safe and smooth manner. Other benefits of material handling equipment include reduced operating time due to greater equipment utilization, increased productivity and job efficiency, decreased total production time, and the ability to carry out safe, suitable, effective, and standard transport operations.

Similarly to robots, additional equipment such as conveyer belts, heavy-duty pulleys, industrial lifts, and cranes are in high demand from a variety of end-use sectors. The majority of aerospace, automobile, air freight, electrical and electronic equipment industries makes extensive use of automated material handling technology. Other end-use industries, including as the building and construction industry, machinery, agriculture, and warehousing, are seeing increased usage of equipment such as conveyer belts, hoists, monorails, industrial lifts, and cranes.

The aforementioned benefits of using material handling equipment, as well as the expanding trend of factory automation with increasing demand in end-use industries are likely to drive market revenue for the material handling equipment market.

Which Factors are limiting the Growth of Material Handling Equipment Market?

High Initial Cost of Acquiring and Maintaining Material Handling Equipment to Restrain the Market Growth

The high initial cost of acquiring and maintaining material handling equipment is one of the principal factors that may limit industry expansion. The high investment costs for installation, procurement, programming, integration, and other services are preventing small and medium-sized firms from competing with global giants. High maintenance costs will also be a stumbling hurdle to market expansion in the coming years.

Region-wise Insights

Will North America Continue Dominance in the Global Material Handling Equipment Market?

Expanding E-commerce Business to Fuel the Market Growth in the Region

The material handling equipment market in North America is expected to accumulate the highest market share of 27.3% in 2022. During the projected period 2025-2035, the North American region is predicted to develop fast rate.

Because of the significance of the e-commerce business to the region's expanding sales. The global market for material handling equipment is expanding due to increased demand for both durable and non-durable goods. Furthermore, the implementation of automated warehousing techniques across North America is propelling the material handling equipment market forward.

Where does the growth of Material Handling Equipment Market in Asia-Pacific stand?

Rapid Adoption of E-Commerce Services in the Region to Fuel the Market Growth

The material handling equipment market in Asia-Pacific is expected to accumulate a significant market share of 21% in 2022, and is expected to continue to maintain the trend over the forecast period as well.

During the projected period 2025-2035, the Asia Pacific region is predicted to develop significantly. Countries such as China and India are likely to give a multitude of prospects, supporting OEMs in expanding their end-user markets.

The rapid adoption of e-commerce services during the pandemic, which favoured equipment purchases, will be a crucial element driving regional market development.

How Will Growth of the Material Handling Equipment Market unfold in Europe?

Adoption of Cutting-edge Tools to Gain Traction in Europe

The material handling equipment market in Europe is expected to accumulate a market share value of 23.4% in 2022. During the forecast period 2025-2035, Europe is estimated to lead the Material Handling Equipment Market. The adoption of cutting-edge goods to support a significant industrial presence in the area is likely to boost Material Handling Equipment Market expansion.

There are several enterprises in Europe that provide sales opportunities, ranging from food and beverage industry to technology. Aside from industrial industries, the same-day delivery model-driven e-commerce sector contributed to regional demand in 2025, and this trend is likely to continue throughout the projection period.

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Category-wise Insights

Which product type segment is the most popular among Material Handling Equipment end users?

The Industrial Trucks & Lifts Sector Segment of the Material Handling Equipment to beat Competition in Untiring Market

The material handling equipment end users select the industrial trucks & lifts sector by product type because it is utilized to transfer products and materials to certain distance areas of factories and industries. The majority of end customers in various industrial sectors respect their workforce and workers, which stimulates the deployment of automated material handling equipment.

The utilization of industrial trucks and lifts allows for seamless and simple material handling without any personal contact with industrial staff or workers. This will be extremely useful in hazardous production areas. Industrial cranes and lifts offer greater job freedom in mobility than conveyor belts.

Other conveying type handling equipment does not offer horizontal or vertical movement of goods. Industrial trucks and lifts are in high demand in end-use applications due to their increased efficiency, versatility, and ease of operation. They are especially popular among material handling equipment end users.

Material Handling Equipment Market Segmentation

By Product Type:

• Conveying Equipment
• Industrial Trucks & Lifts
• Hoist
• Cranes & Monorails
• Automated Material Handling Equipment
• Other Equipment Types

By End Use:

• Aerospace
• Agriculture
• Air Cargo
• Automotive
• Building and Construction
• Electrical & Electronic Equipment
• Industrial Machinery
• Shipping Industry
• Warehousing
• Postal/Express Delivery
• Others Industries
  

By Region:

• North America
• Latin America
• Western Europe
• Eastern Europe
• East Asia
• South Asia Pacific
• Middle East and Africa
  

Explore FMI's Extensive Coverage in the Industrial Automation Domain:

From 2025 to 2035, the scope of the bulk material handling system market is expected to expand steadily owing to growth of industrial automation, infrastructure development and demand for effective material handling solutions across various industries.

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The market of material handling equipment is expected to witness substantial growth between the years 2025 to 2035 owing to the growing industrialization, warehouse automation, and growing e-commerce operations.

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