Material Handling Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Product (Automated Guided Vehicles, Automated Storage And Retrieval Systems, Trucks And Lifts, Cranes & Hoists, Conveyor System, Others), By Application (Warehousing And Distribution, Airport Baggage Handling, Bulk Handling, Postal And Parcel Delivery, Assembly, Packaging), By Industry Vertical (Manufacturing, Healthcare, Chemical, Paper, Food And Beverage, Warehousing, Others) And By Geography - Forecasts From 2022 To 2027
- Published : Nov 2022
- Report Code : KSI061610036
- Pages : 135
The material handling market is projected to grow at a CAGR of 7.15% to reach US$237.240 billion by 2027, from US$146.261 billion in 2020.
The growing adoption of industrial automation solutions across various end-user industries is one of the key factors driving the global material handling market’s growth. As a result of the booming e-commerce industry, rising investments by manufacturers in the installation of various equipment at distribution centers and warehouses are also fueling the demand for material handling products and solutions across the globe. Moreover, the rigid regulations regarding worker safety require manufacturers to implement material-handling solutions in a hazardous work environment, which further drives the demand for material-handling products and services in the market.
On the basis of product, the trucks and lift segment is expected to account for holding a major share of the global material handling market in the forecast period.
This dominance is attributed to the shift towards automated lifts and trucks due to the expensive human workforce and the growing need to improve operational efficiency throughout the entire supply chain. An increasing number of construction projects in developing countries is driving the demand for small trucks and specialized heavy-lifting equipment. Moreover, the booming global logistics industry will further push the market’s growth over the next five years.
Automated storage and retrieval systems (AS/RS) will witness the fastest growth during the forecast period owing to the increasing demand for automated machines and equipment that assist in reducing floor space, labor costs, and inventory levels to enhance productivity while reducing manufacturing cycle time.
By application, the warehousing and distribution segment is projected to dominate the global market, showing good growth opportunities during the forecast period.
The growing global third-party logistic industry is significantly driving the demand for material handling solutions. The entry of new startups in the growing global e-commerce industry is boosting the demand for 3PL solutions, as they rely on other logistic enterprises as part of the supply chain. Thus, there is a high demand for material handling solutions from the warehousing and distribution segment of the 3PL industry to smoothen the entire supply chain. Airport baggage handling applications are poised to experience significant market growth due to the growing global tourism industry. The increasing purchasing power and improving living standards in the developing economies of the world have led to a significant shift towards air travel. This has further led to a rise in the number of air travel passengers, which, in turn, will spur the demand for airport baggage handling solutions at airports.
By industry vertical, the manufacturing sector is projected to dominate the global material handling market throughout the forecast period.
The rising global manufacturing activities and infrastructural development, especially in developing countries, will spur the demand for material handling solutions for timely production requirements and increased productivity. Moreover, high labor costs coupled with stringent regulations for providing a safer workplace are pushing manufacturers to shift from labor-intensive to capital-intensive production methods, thereby positively impacting the global material handling market growth. Additionally, the healthcare sector will witness the fastest market growth over the projected period due to the rising global geriatric population and the increasing cases of chronic diseases. The increase in demand for various medicines and medical devices will require the healthcare and pharmaceutical industries to opt for efficient material-handling solutions.
Geographically, the Asia Pacific region is credited with holding a significant market share in the global material handling market during the forecast period.
The rapid industrialization and rising manufacturing activities in developing Asian economies such as China, India, and South Korea are boosting the demand for material handling solutions. The growing e-commerce industry in India and China due to the rising use of smartphones and the proliferation of internet connectivity is also fueling the demand for material handling solutions for warehousing and distribution applications. The booming construction industry and investments in infrastructural development supported by favorable government initiatives and policies will further propel the growth of the Asia Pacific material handling market over the next five years.
- In April 2022, Material Handling Systems, Inc. announced that MHS’s business with collaborate with Fortna to form a multi-billion-dollar multinational company providing parcel, distribution, and lifecycle services. The combined operations of both companies will benefit the customers by providing breadth and depth of both companies’ offerings.
- Third Wave Automation and Toyota Industries entered into a strategic partnership in May 2021, to produce next-generation autonomous material handling vehicles.
COVID-19 Impact on Material Handling Market
The pandemic had a significant impact on the material handling market. Many businesses and industries were temporarily shut down due to the imposed lockdowns and restrictions. Furthermore, the disruptions in the supply chain network across the globe intensified the rough conditions for the material handling market. On the contrary, to accommodate the social distancing protocols the companies had to change their regular way of operations. Hence, the companies had to reduce the labor force and had to integrate material handling automated equipment into their operations, especially in the E-commerce sector, which supported the growth of the material handling market.
Material Handling Market Scope:
|Market Size Value in 2020||US$146.261 billion|
|Market Size Value in 2027||US$237.240 billion|
|Growth Rate||CAGR of 7.15% from 2020 to 2027|
|Forecast Unit (Value)||USD Billion|
|Segments Covered||Product, Application, Industry Vertical, And Geography|
|Regions Covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies Covered||Daifuku Co., Ltd., Schaefer Systems International Pvt Ltd, Honeywell Intelligrated, Dematic, Toyota Industries Corporation, Beumer Group, Material Handling Systems, Swisslog Holding AG, LIEBHERR, PeakLogix|
|Customization Scope||Free report customization with purchase|
- By Product
- Automated Guided Vehicles
- Automated Storage and Retrieval Systems
- Trucks and Lifts
- Cranes & Hoists
- Conveyor System
- By Application
- Warehousing and Distribution
- Airport Baggage Handling
- Bulk Handling
- Postal and Parcel Delivery
- By Industry Vertical
- Food and Beverage
- By Geography
- North America
- South America
- Middle East and Africa
- Saudi Arabia
- Asia Pacific
- South Korea
- North America
Frequently Asked Questions (FAQs)
1.1. Market Introduction
1.2. COVID-19 Scenario
1.3. Market Definition
1.4. Market Segmentation
2. Research Methodology
2.1. Research Data
3. Executive Summary
3.1. Research Highlights
4. Market Dynamics
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. Material Handling Market Analysis, by Product
5.2. Automated Guided Vehicles
5.3. Automated Storage and Retrieval Systems
5.4. Trucks and Lifts
5.5. Cranes & Hoists
5.6. Conveyor System
6. Material Handling Market Analysis, by Application
6.2. Warehousing and Distribution
6.3. Airport Baggage Handling
6.4. Bulk Handling
6.5. Postal and Parcel Delivery
7. Material Handling Market Analysis, by Industry Vertical
7.6. Food and Beverage
8. Material Handling Market Analysis, by Geography
8.2. North America
8.3. South America
8.5. Middle East and Africa
8.5.1. Saudi Arabia
8.6. Asia Pacific
8.6.4. South Korea
9. Competitive Environment and Analysis
9.1. Major Players and Strategy Analysis
9.2. Emerging Players and Market Lucrativeness
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Vendor Competitiveness Matrix
10. Company Profiles
10.1. Daifuku Co., Ltd.
10.2. Schaefer Systems International Pvt Ltd
10.3. Honeywell Intelligrated
10.5. Toyota Industries Corporation
10.6. Beumer Group
10.7. Material Handling Systems
10.8. Swisslog Holding AG
Daifuku Co., Ltd.
Schaefer Systems International Pvt Ltd
Material Handling Systems
Swisslog Holding AG
|Report Name||Published Month||Get Sample PDF|
|Automated Material Handling Market Size: Report, 2022-2027||Aug 2022|
|North America Material Handling Market Size: Report, 2022 - 2027||Nov 2022|
|Asia Pacific (APAC) Material Handling Market Size: 2022 - 2027||Feb 2022|
|Europe Material Handling Market Size & Share: Report, 2022 - 2027||Nov 2022|
|South America Material Handling Market Size: Report, 2022 - 2027||Dec 2022|