Forklift Rental Market Size (2024 - 2029)

Forklift Rental Market Analysis

The forklift rental market is expected to reach USD 8.17 billion, registering a CAGR of 4.78% over the next five years.

The COVID-19 pandemic is likely to have a positive impact on the forklift rental industry for the foreseeable future. Renting equipment can provide several long-term benefits for dealers and users. A key takeaway is that, in the long run, renting will be far more profitable than owning. When an equipment dealership offers rentals, it is investing in future revenue streams with the potential for extremely high returns. Furthermore, by renting a forklift, the company gains some monetary benefit that can be used for other purposes.

Over the long term, renting forklifts is becoming more popular among contractors and e-commerce firms due to the high initial purchase cost of a new forklift. The demand for forklift rentals has increased as a result of market factors such as high taxes, maintenance costs, high depreciation costs, and equipment insurance requirements for new machines. Industries are also dynamic and heavily influenced by changes in the market. Renting equipment helps protect the company from unexpected financial instability. The rental of a wide variety of cutting-edge equipment is also helping to boost market revenue. Several emerging trends in the automation sector have led to an increase in forklift rental market share following the pandemic. Moreover, with more people shopping online, there is a greater need for warehouse and logistics specialists, such as forklift operators and mechanics. The trajectory of e-commerce is increasing demand for forklift operators and other logistics personnel in two ways: higher volumes of online orders necessitate more staff to fulfill them, and as the e-commerce sector becomes more competitive, consumers pressurize retailers to increase delivery speed and efficiency.

Along with forklift operators, the rise in e-commerce will most likely benefit forklift suppliers, manufacturers, and engineers. In 2021, retail e-commerce sales in the United States surpassed USD 900 billion, including digital services. However, a significant constraint to growth in the global market is a lack of trained labor.

In the coming years, the Asia-Pacific region is anticipated to experience significant growth. Governments of emerging economies in Asia are heavily investing in the construction of roads, airports, dams, and special economic zones to improve trade, increase connectivity, and strengthen the region's economy. These initiatives have caught the attention of major manufacturers of construction equipment, who are now motivated to invest heavily and establish a presence in the area.

For instance, GIKEN and AKTIO Corporation work together in the rental business. AKTIO Corporation is one of the industry's leading construction equipment rental companies. The company recognizes this business alliance as a significant step toward reaching JPY 100 billion (around USD 739 Million) in sales in 10 years as a 2024 Mid-term Management Plan. To meet rising demand, the company will use AKTIO's extensive network to accelerate the development of new customers and establish the supply structure for press-in machinery.

Through a proposal-based construction equipment rental service called "RensultingR," AKTIO works with various construction companies and specialty contractors. AKTIO will be a strong partner for GIKEN in customer development. By utilizing AKTIO's various channels, GIKEN hopes to increase its user base, and AKTIO hopes to increase its revenue by adding SILENT PILERTM to its line of products. The "Construction Revolution" will continue to advance thanks to the synergistic effects of this business partnership, ushering in a new era of construction.

Forklift Rental Industry Segmentation

Forklift rental refers to a location where large vehicles or machinery are supplied to different industry verticals and can be retrieved and stored for public use. It may also include complementary and auxiliary retail activities.

The forklift rental market has been segmented by load type, end-use type, and geography. By load type, the market is segmented into 3.5 tons, 10 tons, and above 10 tons. By end-use type, the market is segmented into construction, automotive, aerospace and defense, warehouse and logistics, and other end-use types. By region, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. The report offers market size and forecast for the forklift rental market in value (USD billion) for all the above segments.