Demand for Efficient, Safe, and Cost-effective Industrial Vehicles Boost Industrial Vehicles Market Growth
The integration of autonomous industrial vehicles such as autonomous industrial vehicles (IVs) represents a transformative phase in the industrial vehicles market, fueled by improved efficiency, reduced maintenance costs, and enhanced safety records. Autonomous industrial vehicles, operating within geofenced topographies and adhering to specific rules, address one of the persistent challenges in industrial vehicle operations—wear and tear. Unlike human operators, whose driving habits can vary significantly, autonomous vehicles follow prescribed actions, minimizing the potential for routing errors, reducing wear on critical components, and improving the overall asset lifetime. Komatsu, a key player in this space, reports that its autonomous solutions have the potential to improve tire and brake life by up to 40%—which can lead to the widespread adoption of autonomous technology. Similarly, Telematics, a crucial component of autonomous trucks, relies on internet-connected sensors to monitor vehicle performance in real time. This constant feedback loop allows for proactive adjustments, ensuring that vehicles operate at optimal levels. By leveraging telematics, industrial vehicles can experience a significant reduction in error and unnecessary movement, potentially extending their lifespan by up to 50%. This not only promotes sustainability but also presents a compelling economic case for companies looking to maximize the return on their industrial vehicle investments.
The implementation of autonomous industrial vehicles in real-world applications continues to be successful. Resolute Mining’s debut of the world’s first fully autonomous underground gold mine in 2019 showcased the broader applicability of autonomous technology. By employing completely autonomous operations, Resolute Mining achieved a substantial reduction in the mine’s total cost of gold production—US$ 135 per ounce—and reduced operating expenses by 30%. These outcomes highlight the transformative potential of autonomous technology in optimizing operational efficiency and cost-effectiveness. Thus, various industries are witnessing potential for extended asset lifetimes, improved safety records, and significant cost savings, which are likely to present lucrative opportunities for manufacturers and stakeholders operating in the industrial vehicles market during the forecast period.
The scope of the industrial vehicles market report focuses North America (US, Canada, and Mexico), Europe (Spain, UK, Germany, France, Italy, and Rest of Europe), Asia Pacific (South Korea, China, India, Japan, Australia, and Rest of Asia Pacific), Middle East & Africa (South Africa, Saudi Arabia, UAE, and Rest of Middle East & Africa), and South & Central America (Brazil, Argentina, and Rest of South & Central America). In terms of revenue, Asia Pacific dominated the industrial vehicles market share. Europe is the second-largest contributor to the global industrial vehicles market, followed by North America. The industrial vehicles market size of Europe is driven by the growing food & beverages sector, with increasing demand for logistics and transportation and rising shopping-commerce industry growth. The logistics sector requires industrial vehicles for the transport of goods from one place to another. According to the European Commission, it has invested US$ 6.59 billion for the 107 transport infrastructure projects. This EU’s strategic investment was made to automate the transportation and logistics infrastructure. Such growth in the logistics sector has created massive demand for industrial vehicles for material handling in warehouses.
The Middle East & Africa industrial vehicles market growth is driven by increasing investment in the warehouse & packaging industry, along with a significant rise in online shopping. In the Gulf States, the e-commerce industry was valued at ~US$ 32.85 billion in 2023 and is projected to register a CAGR of 11% from 2023 to 2027, reaching US$ 49.78 billion by 2027. Such growth in the e-commerce sector has created massive growth opportunities for the industrial vehicles market in this region.
Industrial Vehicles Market Analysis: Drive Type Overview
Based on drive type, the industrial vehicles market is segmented into internal combustion engine, battery-operated, and gas-powered. Furthermore, the battery-operated industrial vehicles segment accounted for the largest market share in 2022, owing to the rising number of warehouses and growing demand for automation across the manufacturing sector. According to the World Bank Organization, manufacturing output worldwide was ~US$ 16.34 trillion in 2022, which increased by 2.3% compared to 2021. Such growth in the manufacturing sector and increasing demand for electric forklifts have created massive demand for industrial vehicles. The battery-operated segment held the largest share in the industrial vehicles market in 2022, accounting for 62.7%, and is expected to account for 71.7% by 2030. Internal combustion engine forklifts use gasoline fuel to operate. Generally, IC engines offer more power to the forklifts. It offers more lugging power for heavier loads on uneven surfaces. Typically, this type of truck has a fast-lifting speed. IC engine-based forklifts have less demand than battery-operated industrial vehicles. However, the key players in the market are launching IC engine-based industrial vehicles in order to meet growing warehouse and manufacturing sector demand. For instance, in January 2021, Doosan, a forklift truck manufacturer, launched the low-cost IC engine-based NX Plus Series of forklifts. These forklifts are powered by Diesel and LPG gas for warehouse and logistics applications. NX Plus offers powerful performance with low maintenance costs and reduced total cost of ownership.
Industrial Vehicles Market: Competitive Landscape and Key Developments
KION Group AG; Toyota Industries Corporation; MITSUBISHI HEAVY INDUSTRIES, LTD.; Komatsu Limited, Konecranes; Anhui Heli Co., Ltd.; Hyster-Yale Materials Handling, Inc.; Jungheinrich AG; Crown Equipment Corporation; and Clark Material Handling Company are among the key players covered in the industrial vehicles market report. The industrial vehicles market report includes growth prospects owing to the current industrial vehicles markettrends and their foreseeable impact during the forecast period.
Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the industrial vehicles market. The market initiative is a strategy adopted by companies to expand their footprint across the world and to meet the growing customer demand. The market players present in the industrial vehicles market are mainly focusing on product and service enhancements by integrating advanced features and technologies into their offerings.