GITNUXREPORT 2025

Material Handling Industry Statistics

Material handling industry rapidly adopting automation and robotics to boost efficiency.

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Statistic 1

The global material handling equipment market was valued at approximately $38 billion in 2020

Statistic 2

The U.S. materials handling equipment market size was valued at $7.4 billion in 2021

Statistic 3

Forklifts are the most common material handling equipment, accounting for about 35% of the market sector

Statistic 4

The global automated guided vehicle (AGV) market is projected to grow at a CAGR of 11.2% from 2022 to 2030

Statistic 5

The global pallet market size was valued at $16 billion in 2021, with a projected growth rate of 4.2% annually until 2028

Statistic 6

The global conveyor systems market is expected to reach $8.3 billion by 2026, growing at a CAGR of 4.8% between 2021 and 2026

Statistic 7

The global storage tank market is expected to grow to $49 billion by 2027, driven by increased demand in logistics and industrial sectors

Statistic 8

In 2020, E-commerce accounted for 14.3% of total retail sales globally, increasing demand for efficient material handling solutions

Statistic 9

The annual growth rate of the industrial trucks sector, including forklifts and other warehouse vehicles, is around 3.5%

Statistic 10

The global lift truck market size was valued at $25 billion in 2019 and is expected to grow

Statistic 11

The average warehouse size in North America has increased by 25% over the past decade, to accommodate e-commerce growth

Statistic 12

Robotics in material handling is projected to grow at a CAGR of 20% from 2022 to 2030

Statistic 13

Global demand for warehouse robots is expected to reach 2.4 million units by 2025, from 0.6 million units in 2020

Statistic 14

The North American material handling equipment industry is expected to grow by approximately 4% annually through 2025

Statistic 15

The global packaging industry, which overlaps with material handling, was valued at $850 billion in 2021, expanding with a CAGR of 4%

Statistic 16

The use of IoT devices in material handling logistics is expected to grow at a CAGR of 15.2% from 2022 to 2028

Statistic 17

The global industrial truck market is projected to grow at a CAGR of 4.2% over the next five years, reaching $38 billion by 2027

Statistic 18

E-commerce growth has led to a 15% increase in demand for pallet stacking and storage solutions from 2020 to 2023

Statistic 19

The global markets for manual handling equipment are expected to grow at a CAGR of 3.8% through 2025, driven by increasing safety regulations

Statistic 20

The average annual growth rate of the global warehouse automation market is approximately 12%, expecting to reach over $23 billion by 2027

Statistic 21

The robotics segment within material handling is projected to see a CAGR of 15% from 2022 to 2028, driven by e-commerce and automation

Statistic 22

The adoption of cloud-based warehouse management systems (WMS) is growing at a rate of 18% annually, providing real-time data insights

Statistic 23

Automated parcel sorting systems are expected to grow to $1.7 billion globally by 2025, supporting the surge in e-commerce logistics

Statistic 24

The global materials handling gloves market size was valued at $1.2 billion in 2021 and is expected to grow at a CAGR of 6.5% through 2028

Statistic 25

The global market for warehouse lighting is projected to reach $4.5 billion by 2028, driven by increased automation and safety standards

Statistic 26

Only about 15% of warehouses globally currently utilize predictive maintenance for their equipment, but this is expected to grow rapidly

Statistic 27

The annual growth rate of the global logistics automation market is projected at 14%, reaching an estimated value of $65 billion by 2028

Statistic 28

The market for industrial automation solutions used specifically in material handling is anticipated to grow at a CAGR of 8.5% from 2022 to 2028, reaching $22 billion

Statistic 29

The adoption of eco-friendly and energy-efficient material handling equipment is expected to increase by 12% annually through 2025

Statistic 30

The average lifespan of a forklift is around 10 years with proper maintenance

Statistic 31

The average cost of a new forklift ranges from $20,000 to $50,000 depending on specifications

Statistic 32

65% of logistics companies report that equipment downtime significantly impacts their operational efficiency

Statistic 33

The use of automation in material handling can reduce labor costs by up to 30%

Statistic 34

The average warehouse labor cost per hour ranges between $22 and $30 in North America, impacting automation decisions

Statistic 35

E-commerce logistics require faster order processing, with 80% of companies aiming to deliver within 24-48 hours, increasing the need for efficient handling equipment

Statistic 36

The turnover rate for material handling equipment is approximately 10% annually, due to upgrade cycles and technological advancements

Statistic 37

The average energy savings through LED lighting in warehouses is approximately 30%, leading to significant operational cost reductions

Statistic 38

The return on investment (ROI) for implementing warehouse automation can be as high as 200% within the first three years, according to industry reports

Statistic 39

The cost of implementing a new warehouse management system (WMS) ranges from $50,000 to over $250,000 depending on size and complexity

Statistic 40

Nearly 60% of warehouses in North America are expected to adopt automation technologies by 2025

Statistic 41

The Asia-Pacific region holds the largest share of the material handling equipment market, accounting for approximately 40% in 2021

Statistic 42

The adoption rate of electric forklifts is increasing rapidly, with over 50% of new forklifts purchased in North America being electric in 2022

Statistic 43

75% of material handling companies are investing in sustainability to reduce carbon footprint, such as electric and energy-efficient equipment

Statistic 44

Material handling safety remains a priority, with 30% of accidents in warehouses caused by improper equipment use

Statistic 45

The most common safety equipment used in material handling operations includes helmets, gloves, and eye protection, with usage rates exceeding 80%

Statistic 46

85% of warehouses are planning to implement warehouse management systems (WMS) to optimize operations

Statistic 47

About 70% of material handling companies utilize some form of automation or robotics in their operations

Statistic 48

The use of RFID technology in material handling can improve inventory accuracy by up to 99%

Statistic 49

The average productivity increase in warehouses that adopt automation is approximately 20%

Statistic 50

About 90% of warehouses in Europe are considering or implementing automation solutions

Statistic 51

About 40% of logistics companies use predictive analytics to optimize inventory and delivery schedules

Statistic 52

Approximately 55% of warehouses in the US use some form of automated storage and retrieval system (AS/RS)

Statistic 53

Mobile robots are being adopted in approximately 25% of warehouses in highly automated logistics hubs

Statistic 54

Modern warehouses are increasing their storage density by up to 50% using vertical shelving and automation

Statistic 55

The use of drones for inventory assessment and delivery in warehouses is gaining acceptance, with projected adoption increasing by 22% annually

Statistic 56

Approximately 48% of supply chain organizations are implementing or planning to implement blockchain technology to improve transparency and security

Statistic 57

Material handling solutions that integrate IoT sensors can reduce equipment failure rates by up to 30%

Statistic 58

Approximately 25% of large warehouses have adopted RFID tagging for inventory management by 2023, up from 10% in 2019

Statistic 59

The integration of AI in material handling systems enhances predictive logistics planning, increasing efficiency by about 18%

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Key Highlights

The global material handling equipment market was valued at approximately $38 billion in 2020
The U.S. materials handling equipment market size was valued at $7.4 billion in 2021
Nearly 60% of warehouses in North America are expected to adopt automation technologies by 2025
Forklifts are the most common material handling equipment, accounting for about 35% of the market sector
The global automated guided vehicle (AGV) market is projected to grow at a CAGR of 11.2% from 2022 to 2030
85% of warehouses are planning to implement warehouse management systems (WMS) to optimize operations
The global pallet market size was valued at $16 billion in 2021, with a projected growth rate of 4.2% annually until 2028
The average lifespan of a forklift is around 10 years with proper maintenance
About 70% of material handling companies utilize some form of automation or robotics in their operations
The global conveyor systems market is expected to reach $8.3 billion by 2026, growing at a CAGR of 4.8% between 2021 and 2026
The use of RFID technology in material handling can improve inventory accuracy by up to 99%
The average productivity increase in warehouses that adopt automation is approximately 20%
The global storage tank market is expected to grow to $49 billion by 2027, driven by increased demand in logistics and industrial sectors

As the material handling industry surges into a new era of automation, sustainability, and innovation—valued at over $38 billion globally in 2020—the rapid adoption of technologies like robotics, IoT, and warehouse management systems is transforming warehouses into smarter, more efficient hubs ready to meet the demands of a booming e-commerce landscape.

Market Size and Growth Trends

The global material handling equipment market was valued at approximately $38 billion in 2020
The U.S. materials handling equipment market size was valued at $7.4 billion in 2021
Forklifts are the most common material handling equipment, accounting for about 35% of the market sector
The global automated guided vehicle (AGV) market is projected to grow at a CAGR of 11.2% from 2022 to 2030
The global pallet market size was valued at $16 billion in 2021, with a projected growth rate of 4.2% annually until 2028
The global conveyor systems market is expected to reach $8.3 billion by 2026, growing at a CAGR of 4.8% between 2021 and 2026
The global storage tank market is expected to grow to $49 billion by 2027, driven by increased demand in logistics and industrial sectors
In 2020, E-commerce accounted for 14.3% of total retail sales globally, increasing demand for efficient material handling solutions
The annual growth rate of the industrial trucks sector, including forklifts and other warehouse vehicles, is around 3.5%
The global lift truck market size was valued at $25 billion in 2019 and is expected to grow
The average warehouse size in North America has increased by 25% over the past decade, to accommodate e-commerce growth
Robotics in material handling is projected to grow at a CAGR of 20% from 2022 to 2030
Global demand for warehouse robots is expected to reach 2.4 million units by 2025, from 0.6 million units in 2020
The North American material handling equipment industry is expected to grow by approximately 4% annually through 2025
The global packaging industry, which overlaps with material handling, was valued at $850 billion in 2021, expanding with a CAGR of 4%
The use of IoT devices in material handling logistics is expected to grow at a CAGR of 15.2% from 2022 to 2028
The global industrial truck market is projected to grow at a CAGR of 4.2% over the next five years, reaching $38 billion by 2027
E-commerce growth has led to a 15% increase in demand for pallet stacking and storage solutions from 2020 to 2023
The global markets for manual handling equipment are expected to grow at a CAGR of 3.8% through 2025, driven by increasing safety regulations
The average annual growth rate of the global warehouse automation market is approximately 12%, expecting to reach over $23 billion by 2027
The robotics segment within material handling is projected to see a CAGR of 15% from 2022 to 2028, driven by e-commerce and automation
The adoption of cloud-based warehouse management systems (WMS) is growing at a rate of 18% annually, providing real-time data insights
Automated parcel sorting systems are expected to grow to $1.7 billion globally by 2025, supporting the surge in e-commerce logistics
The global materials handling gloves market size was valued at $1.2 billion in 2021 and is expected to grow at a CAGR of 6.5% through 2028
The global market for warehouse lighting is projected to reach $4.5 billion by 2028, driven by increased automation and safety standards
Only about 15% of warehouses globally currently utilize predictive maintenance for their equipment, but this is expected to grow rapidly
The annual growth rate of the global logistics automation market is projected at 14%, reaching an estimated value of $65 billion by 2028
The market for industrial automation solutions used specifically in material handling is anticipated to grow at a CAGR of 8.5% from 2022 to 2028, reaching $22 billion
The adoption of eco-friendly and energy-efficient material handling equipment is expected to increase by 12% annually through 2025

Market Size and Growth Trends Interpretation

As the global material handling sector transforms at a CAGR of approximately 8-14%, with robotics, automation, and IoT leading the charge, it’s clear that warehouses are no longer just storage spaces—they’re becoming smart, green, and almost autonomous, making the phrase "handling the future" more literal than ever.

Operational Metrics and Cost Insights

The average lifespan of a forklift is around 10 years with proper maintenance
The average cost of a new forklift ranges from $20,000 to $50,000 depending on specifications
65% of logistics companies report that equipment downtime significantly impacts their operational efficiency
The use of automation in material handling can reduce labor costs by up to 30%
The average warehouse labor cost per hour ranges between $22 and $30 in North America, impacting automation decisions
E-commerce logistics require faster order processing, with 80% of companies aiming to deliver within 24-48 hours, increasing the need for efficient handling equipment
The turnover rate for material handling equipment is approximately 10% annually, due to upgrade cycles and technological advancements
The average energy savings through LED lighting in warehouses is approximately 30%, leading to significant operational cost reductions
The return on investment (ROI) for implementing warehouse automation can be as high as 200% within the first three years, according to industry reports
The cost of implementing a new warehouse management system (WMS) ranges from $50,000 to over $250,000 depending on size and complexity

Operational Metrics and Cost Insights Interpretation

Given that forklifts have a decade-long lifespan, but equipment downtime hampers efficiency for 65% of logistics firms, and automation can slash labor costs by 30% with ROI soaring to 200%, it’s clear that investing upfront — whether in modern forklifts, LED lighting, or sophisticated WMS — isn't just smart business, but a necessity in the fast-paced, cost-conscious world of material handling.

Regional Market Dynamics and Penetration

Nearly 60% of warehouses in North America are expected to adopt automation technologies by 2025
The Asia-Pacific region holds the largest share of the material handling equipment market, accounting for approximately 40% in 2021
The adoption rate of electric forklifts is increasing rapidly, with over 50% of new forklifts purchased in North America being electric in 2022

Regional Market Dynamics and Penetration Interpretation

As automation takes hold—driving nearly 60% of North American warehouses to go maritime-cable-and-electric—industry leaders are clearly shifting gears toward a smarter, greener material handling future.

Safety, Sustainability, and Industry Standards

75% of material handling companies are investing in sustainability to reduce carbon footprint, such as electric and energy-efficient equipment
Material handling safety remains a priority, with 30% of accidents in warehouses caused by improper equipment use
The most common safety equipment used in material handling operations includes helmets, gloves, and eye protection, with usage rates exceeding 80%

Safety, Sustainability, and Industry Standards Interpretation

As the industry shifts toward greener practices with 75% investing in sustainable equipment, it's reassuring that safety remains paramount—highlighted by high PPE use and a persistent focus on preventing accidents caused by improper equipment use, reminding us that progress hinges on both environmental responsibility and worker safety.

Technologies and Automation in Material Handling

85% of warehouses are planning to implement warehouse management systems (WMS) to optimize operations
About 70% of material handling companies utilize some form of automation or robotics in their operations
The use of RFID technology in material handling can improve inventory accuracy by up to 99%
The average productivity increase in warehouses that adopt automation is approximately 20%
About 90% of warehouses in Europe are considering or implementing automation solutions
About 40% of logistics companies use predictive analytics to optimize inventory and delivery schedules
Approximately 55% of warehouses in the US use some form of automated storage and retrieval system (AS/RS)
Mobile robots are being adopted in approximately 25% of warehouses in highly automated logistics hubs
Modern warehouses are increasing their storage density by up to 50% using vertical shelving and automation
The use of drones for inventory assessment and delivery in warehouses is gaining acceptance, with projected adoption increasing by 22% annually
Approximately 48% of supply chain organizations are implementing or planning to implement blockchain technology to improve transparency and security
Material handling solutions that integrate IoT sensors can reduce equipment failure rates by up to 30%
Approximately 25% of large warehouses have adopted RFID tagging for inventory management by 2023, up from 10% in 2019
The integration of AI in material handling systems enhances predictive logistics planning, increasing efficiency by about 18%

Technologies and Automation in Material Handling Interpretation

With 85% of warehouses planning to implement WMS, nearly half embracing RFID and blockchain for transparency, and automation boosting productivity by 20%, the industry is clearly shifting towards a high-tech, data-driven future where warehouses are becoming smarter, denser, and more efficient—proving that in logistics, you better keep up or fall behind in the digital race.