United Kingdom Forklift Market By Tonnage Capacity (Less than 5-ton, 5–15-ton, 16-25 ton, above 25 ton), By Propulsion (ICE, Electric), By End Use (Port Facility, Logistics, Construction, Municipality, Others), By Region, Competition, Opportunities & Forecast, 2020-2030F

Market Overview:

United Kingdom Forklift Market was valued at USD 5.01 Billion in 2024 and is expected to reach USD 6.99 Billion by 2030 with a CAGR of 5.71% during the forecast period. The United Kingdom forklift market is witnessing steady growth driven by the rising adoption of automation in material handling, expansion of the e-commerce sector, and increasing preference for electric and hybrid forklifts over traditional internal combustion models. As companies modernize their warehousing and logistics infrastructure, demand for advanced forklifts with telematics, IoT capabilities, and ergonomic designs is increasing. For instance, The UK warehousing sector has grown 61% since 2015, nearing 700 million sq ft. Warehouses over 1 million sq ft rose 345%, and online retailer occupancy jumped 813%. Average unit size grew from 297,000 to 333,000 sq ft. 3PLs lead occupancy, with strong demand near urban centers. The East Midlands holds 130 million sq ft, while the East of England saw 104% growth, underscoring the urgent need for more development-ready land. Manufacturers are focusing on offering energy-efficient, low-maintenance, and compact forklifts to cater to evolving industrial and commercial requirements. Trends such as the integration of lithium-ion batteries, deployment of autonomous forklifts, and real-time fleet management systems are reshaping product offerings and driving innovation.

Market Drivers

Rising Adoption of Electric Forklifts

The increasing demand for electric forklifts is significantly driving market growth due to their low emissions, quiet operation, and reduced maintenance costs. Industries are shifting away from internal combustion models as environmental regulations become stricter and carbon-neutral targets are adopted across sectors. Electric forklifts are now capable of matching the performance of traditional diesel or LPG-powered units, even in high-capacity applications. Improvements in battery technology, particularly lithium-ion and fast-charging systems, are enabling longer operational hours and quicker turnaround between shifts. Companies operating in logistics, retail, and manufacturing are embracing electric forklifts not only for sustainability goals but also for cost savings in fuel and servicing over the equipment lifecycle. Operators benefit from reduced vibration, improved safety, and lower heat generation, enhancing working conditions. Government incentives and favorable leasing models are also contributing to faster adoption.

Expansion of E-commerce and Warehousing Activities

The rapid growth in e-commerce and warehouse operations is acting as a strong growth catalyst for the forklift market. For instance, in 2025, the UK e-commerce market is projected to hit around $235 billion, making up 30.7% of total retail spend. With 62.1 million users, mobile commerce dominates, accounting for 60% of all orders and surpassing $125 billion in sales. Fashion remains the top category, expected to reach $44 billion, driven by strong demand for clothing, footwear, and accessories. With increasing consumer demand for fast and efficient deliveries, retailers and logistics companies are expanding storage facilities and adopting more sophisticated material handling solutions. Forklifts are essential for optimizing inventory flow, reducing order picking times, and improving warehouse throughput. The proliferation of fulfillment centers and last-mile delivery hubs is directly increasing the need for high-efficiency forklifts, particularly models that offer tight turning radii, compact designs, and automation readiness. E-commerce companies are placing greater emphasis on throughput optimization, and forklifts are evolving into smart tools equipped with sensors and real-time tracking features. Pallet racking systems, high-rise storage, and narrow-aisle layouts require versatile and specialized forklifts to maneuver efficiently in constrained spaces.

Increasing Focus on Automation and Smart Logistics

The push toward automation and smart logistics is accelerating forklift demand, particularly for models that integrate seamlessly with warehouse management systems. As supply chains become increasingly data-driven, forklifts are transitioning from manual equipment to intelligent devices that support real-time decision-making. Fleet telematics, load tracking, and remote diagnostics are transforming forklift operations into components of a larger automated workflow. Businesses are investing in sensor-equipped forklifts that provide insights into asset usage, maintenance needs, and productivity benchmarks. Autonomous mobile robots (AMRs) and automated guided vehicles (AGVs) are also being deployed alongside forklifts, prompting the development of hybrid systems that blend manual and automated handling. Integration of forklift data with cloud platforms enables predictive maintenance, energy optimization, and enhanced safety analytics. This convergence of hardware and software allows warehouses to reduce human error, cut operational downtime, and improve efficiency across the supply chain.

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Key Market Challenges

High Initial Investment and Maintenance Complexity

Despite long-term benefits, the high upfront cost of modern forklifts and their associated technologies remains a significant barrier for many businesses. Electric and automated forklift models, while efficient, require substantial capital outlay for procurement, infrastructure, and operator training. Organizations with limited budgets may struggle to justify the transition from legacy equipment, especially in small and mid-sized enterprises where return on investment must be rapid. The integration of advanced components such as lithium-ion batteries, telematics, and autonomous navigation systems also introduces maintenance complexity. Servicing these technologically advanced forklifts often requires specialized knowledge, tools, and diagnostics, which can be costly or hard to access. Downtime during repair or maintenance can interrupt warehouse flow and lead to productivity losses. Companies must also account for lifecycle costs, including battery replacements, software updates, and periodic inspections.

Infrastructure Limitations for Electric and Automated Models

Infrastructure constraints pose a considerable challenge for the forklift market, especially concerning electric and automated variants. Deploying electric forklifts at scale requires robust charging infrastructure, space for docking stations, and adequate power supply, which may not be readily available in older warehouses or remote industrial zones. The process of retrofitting existing facilities to accommodate new energy and connectivity demands often involves significant cost and planning. Similarly, automated forklifts require seamless floor conditions, digital mapping, and uninterrupted wireless networks to function efficiently. Many warehouses, particularly those with irregular layouts or mixed operational zones, are not designed for automated navigation or consistent connectivity. Limitations in Wi-Fi coverage, floor markings, and power management systems can hamper the performance of advanced forklifts. There are also concerns about data privacy and cybersecurity when integrating forklifts into connected supply chain systems.

Key Market Trends

Growth of Lithium-Ion Battery Technology

The rising popularity of lithium-ion batteries is reshaping the forklift industry, offering significant advantages over traditional lead-acid batteries. Lithium-ion batteries deliver higher energy density, faster charging, and longer lifespans, making them ideal for high-intensity operations with minimal downtime. They also support opportunity charging, enabling operators to recharge during short breaks rather than long overnight sessions. The absence of water maintenance, reduced risk of acid spills, and stable voltage output enhance operational safety and simplify maintenance routines. Forklifts powered by lithium-ion batteries exhibit consistent performance throughout a shift, improving productivity in environments where precision and timing are critical. As battery costs decrease due to economies of scale and wider adoption in other sectors like electric vehicles, lithium-ion solutions are becoming more accessible to forklift buyers.

Integration of Telematics and Fleet Management Systems

Forklift fleets are becoming more intelligent with the integration of telematics and fleet management systems, which provide real-time data on performance, usage, and maintenance needs. These technologies enable managers to track vehicle locations, monitor operator behavior, and receive alerts for safety violations or mechanical issues. By analyzing usage patterns, companies can optimize forklift deployment, reduce fuel or power consumption, and plan maintenance schedules more effectively. Telematics also enhances safety by monitoring speed, collision events, and compliance with operation protocols. In high-traffic environments, this data-driven oversight minimizes accidents and extends equipment lifespan. The integration of GPS, RFID, and wireless communication technologies ensures visibility across the entire supply chain, allowing for seamless coordination between forklifts and other warehouse systems. Fleet management platforms often include dashboards, reporting tools, and predictive analytics, empowering decision-makers with actionable insights.

Rising Demand for Compact and Multi-functional Forklifts

There is growing demand for compact and multi-functional forklifts as businesses seek greater versatility within constrained warehouse environments. With limited space and increasingly vertical storage solutions, forklifts that can maneuver in narrow aisles, make tight turns, and handle a variety of loads are in high demand. Manufacturers are developing smaller, more agile models without compromising lift capacity or operator comfort. These forklifts are often equipped with adjustable forks, extendable masts, and adaptable attachments that allow a single machine to perform multiple material handling tasks. The shift toward multifunctionality reduces the need for multiple vehicle types within a facility, leading to cost savings and simplified maintenance. Compact forklifts also consume less energy and are easier to store when not in use, which is beneficial for high-density operations. Advances in design and materials are improving load stability, vibration control, and operator visibility, further enhancing safety and precision.

Segmental Insights

End Use Insights

In 2024, the logistics sector emerged as the dominant end-use segment in the United Kingdom forklift market, driven by the rapid growth of warehousing, distribution centers, and e-commerce operations. The increasing need for efficient handling of goods, fast inventory turnover, and real-time order fulfillment has made forklifts indispensable across logistics hubs. Companies are scaling up their warehouse capacities and streamlining operations to meet rising delivery expectations, which has led to higher demand for advanced forklifts capable of operating in high-density storage environments. Features such as narrow-aisle navigation, smart lifting systems, and enhanced operator visibility are being prioritized to support the evolving needs of logistics operations. For instance, the UK logistics industry contributes $217 billion and supports over 8% of the workforce, per Logistics UK’s 2025 report. Despite trade volatility and skills shortages, the sector is investing in tech and fleet upgrades. Logistics UK calls for stronger government recognition of logistics as key to economic growth.

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Region Insights

In 2024, England dominated the United Kingdom forklift market due to its high concentration of industrial and logistics infrastructure. The region’s dense network of distribution centers, manufacturing plants, and retail hubs has created sustained demand for forklifts across multiple sectors. Warehousing operations in urban and suburban logistics corridors are expanding their fleets to accommodate rising order volumes and meet efficiency benchmarks. For instance, by 2035, the UK aims to become the world’s top destination for Advanced Manufacturing by nearly doubling annual business investment from USD 27B to USD 50B. To achieve this, the government will reform the business environment by reducing energy costs for key sectors, supporting foundational industries, and enhancing UK Export Finance. Up to USD 5.5B will be committed, including USD 3.6B for R&D and scaling innovation. Public finance institutions will unlock over USD 40B for priority sectors. The plan also includes implementing the Automated Vehicles Act, expanding the Made Smarter Adoption programme with USD 128M for SME tech adoption, and advancing AI through the AI Opportunities Action Plan.

Recent Developments

• ​In 2025, Toyota launched the Traigo48 electric forklift range with 1.5–2 ton capacity, lithium-ion batteries, and advanced safety features. It offers improved efficiency, fast charging, and better operator comfort.
• In 2023, Crown expanded its forklift range with new four-wheel models (2.0–5.5 tons), available in electric (80V), diesel, and LPG variants. Designed for both indoor and outdoor use, they support custom attachments and cab options for demanding applications.
• In 2024, Mitsubishi launched heavy-duty electric counterbalance forklifts (1.4–12 tons), including the FB60-120N(H) series. Features include four-wheel steering, passive sway control, low 65 dBA noise, and dual 48V batteries for easy swaps.
• In 2024, Hyster unveiled its electric J2.0-3.5XTLG forklifts (up to 3.5 tons), powered by lithium-ion batteries. Built for indoor/outdoor use, they deliver zero-emission performance rivaling combustion models—ideal for warehousing, logistics, and yard operations.

Key Market Players

• MLE B.V.
• JST Forklift Trucks
• Hyster-Yale Group, Inc.
• Linde Material Handling GmbH
• Landoll Corporation
• Jungheinrich AG
• Combilift Ltd
• Clark Material Handling Company
• Toyota Material Handling Manufacturing Italy S.p.A.
• Impact Fork Truck Limited.

Report Scope:

In this report, the United Kingdom Forklift Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

•           United Kingdom Forklift Market, By Tonnage Capacity:

o    Less than 5-ton

o    5–15-ton

o    16-25 ton

o    above 25 ton

•           United Kingdom Forklift Market, By Propulsion:

o    ICE

o    Electric

•           United Kingdom Forklift Market, By End Use:

o    Port Facility

o    Logistics

o    Construction

o    Municipality

o    Others

•           United Kingdom Forklift Market, By Region:

o    England

o    Scotland

o    Wales

o    Northern Ireland

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the United Kingdom Forklift Market.

Available Customizations:

United Kingdom Forklift Market report with the given market data, TechSci Research offers customizations according to the company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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