Material Handling Equipment Market Revenue To Surpass $44.5 Billion By 2028

Posted on 2022-05-13 by researchinsights in Internet & Online // 0 Comments

Felton, Calif., USA, Sept. 13, 2020 — /EPR Network/ —

Material Handling Equipment Industry Overview

The global material handling equipment market size was valued at USD 26.3 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 7.4% from 2021 to 2028.

Over 50.0% of factory owners estimate that new projects will either be delayed or put on hold because of the coronavirus pandemic. In comparison, close to 30.0% of owners expect to adjust the sales revenue with the ongoing projects. The mentioned statistics do not bode well for the growth of the market unless OEMs aim to transform digitally. Investments in power and battery technology are expected to create avenues for market growth.

Gather more insights about the market drivers, restrains and growth of the Global Material Handling Equipment Market

Apart from the uncertainties created by the coronavirus pandemic, favorable government initiatives support new infrastructure development worldwide, creating growth opportunities in the market for material handling equipment over the forecast period. Economies such as India, China, and Southeast Asia are attracting foreign investments promoting infrastructure and industrial development, subsequently creating avenues for growth. The development of public infrastructure includes airports, rail networks, seaports and power plants, and others. All these activities may favor the adoption of material handling equipment over the forecast period.

Although the demand in industrial applications witnessed a minor setback in 2020, unprecedented growth in the e-commerce sector helped upkeep market growth through the pandemic. Healthy demand for delivery and distribution of grocery items amidst the lockdown came as a respite for market growth. In addition to the OEMs, the pandemic has driven several supply chain firms to explore tools that aid in making informed decisions with AI implementation to analyze large amounts of data they generate periodically. A combination of data-driven insights and hindsight will help build a resilient supply chain supported by advances in equipment technology.

Global material handling equipment market share, by end use, 2020 (%)

The development of the One Belt One Route (OBOR) initiative by China, also known as the Belt and Road Initiative (BRI), is also expected to be lucrative for the materials handling equipment industry. The initiative to connect a network of rail and road routes from China to Europe via the Middle East will provide growth opportunities. Similar other initiatives will bode well for the material handling equipment industry over the next few years.

The 2021 Automation Solutions Survey Study stated that the COVID-19 pandemic triggered the demand for a fully automated solution in the manufacturing sector, with companies increasing investments in automated solutions over the next few years. Further, companies project to upgrade their conveyor and sortation system in the next two years. However, due to the pandemic, several medium-sized businesses have altered plans to purchase or modernize new equipment.

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