Forklift Rental Market Size & Outlook, 2026-2034

Forklift Rental Market Overview

The global forklift rental market size is valued at USD 5.8 billion in 2025 and is projected to reach USD 9.7 billion by 2034, growing at a CAGR of 5.9% during the forecast period. Consistent growth of the market is supported by the rising need for flexible, cost-efficient material-handling solutions across warehousing, manufacturing, construction, and automotive operations, as businesses increasingly prefer rental models to avoid high upfront capital costs, optimize fleet utilization, and ensure uninterrupted operations through readily available, well-maintained forklifts.

Key Market Trends And Insights

• Asia Pacific dominated the market with a revenue share of 34.91% in 2025.
• North America is anticipated to grow at the fastest CAGR of 7.84% during the forecast period.
• Based on forklift type, the Counterbalance Forklifts segment held the highest market share of 41.26% in 2025.
• By rental duration, the Long-Term Rental segment is estimated to register the fastest CAGR growth of 6.42%.
• Based on lifting capacity, the 2–5 Tons segment dominated the market in 2025 with a market share of 38.57%.
• Logistics and Warehousing segment is projected to grow at a CAGR of 6.21% during the forecast period.
• China dominates the forklift rental market, valued at USD 1.12 billion in 2024 and reaching USD 1.20 billion in 2025.

Source: Straits Research

Market Size and Forecast

• 2025 Market Size: USD 5.8 billion
• 2034 Projected Market Size: USD 9.7 billion
• CAGR (2026-2034): 5.9%
• Dominating Region: Asia Pacific
• Fastest Growing Region: North America

The global forklift rental market covers all solutions involved in material-handling equipment, from counterbalance forklifts and reach trucks to pallet trucks, order pickers, tow tractors, rough-terrain units, and heavy-duty forklifts that can support each lifting need across operationally varied environments. These are conceptualized through various service models such as short-term rental, medium-term rental, long-term rental, full-service rental, and subscription-based programs that can facilitate the optimization of fleet flexibility and reduced capital expenditure.

Apart from that, forklift rental services find their applications across key end-use industries like logistics and warehousing, manufacturing, retail, construction, food and beverage, automotive, and other industrial sectors, while catering to a vast range of lifting capacities from below 2 tons up to above 15 tons by deploying reliable, well-maintained, and operationally efficient equipment across global markets.

Market Trends

Transition from Equipment Ownership to On-Demand Fleet Flexibility

The use of forklifts in warehouses, manufacturing plants, and distribution hubs is rapidly moving from a rigid model of owning equipment to a flexible, on-demand rental ecosystem. Conventionally, companies would buy forklifts with huge capital outlays in advance, long lead times for maintenance, and recurring downtime due to unpredictable repair schedules. This ownership-centric model prevents scalability, especially at facilities that experience seasonal or project-based fluctuations. Companies have embraced rental-first strategies through the integration of online reservation portals for fleets, real-time availability dashboards, and performance monitoring systems.

This provides managers with the facility to request, replace, or scale forklifts in a matter of hours rather than weeks, improving the utilization of resources. A number of large logistics providers who are deploying digital rental exchanges demonstrated how this sort of centralized access to fleets reduced idle equipment, improved uptime, and optimized cost per lift. Case studies of operations have testified that such a shift toward on-demand fleet models improves productivity, cuts overheads, and strengthens business continuity in small warehouses or large manufacturing operations around the globe.

Accelerated Adoption of Electric and Lithium-Ion Forklifts

Operational efficiency, sustainability mandates, and overall lower total cost of ownership continue to accelerate the forklift rental market's transition away from diesel-heavy fleets toward electric and lithium-ion alternatives. Diesel forklifts dominated the historical market because of their robustness in outdoor and heavy-duty applications, but also came with a lot of challenges, including fuel costs, emissions restrictions, and greater maintenance downtime, each limiting their viability in indoor environments bound by strict and increasingly so regulations concerning air quality and noise levels. In turn, rental providers expand their electric and lithium-ion fleets at a record-setting pace, offering long runtime, fast charging, zero emissions, and reduced maintenance complexity. Using advanced lithium-ion rentals, warehouses, cold-chain facilities, and automotive plants have reported better energy efficiency, higher uptimes, and improved operator safety. Data from the industry reflects that those facilities that transitioned even 30-40% of their fleets to electric models saw measurable cost reductions and a diminished regulatory compliance burden.

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Market Driver

Large-Scale Forklift Rental Demand Fueled by Government-Led Infrastructure Expansion

Large-scale infrastructure investments, logistics modernization programs, and industrial expansion initiatives launched by national governments are increasingly acting as strong catalysts for the forklift rental market. Countries from Asia Pacific, North America, and the Middle East accelerate the development of industrial corridors, multimodal logistics parks, and large-scale warehousing zones that create sustained demand for flexible material-handling solutions. The Indian government has, for instance, come up with a Gati Shakti National Master Plan to integrate economic zones, highways, sea ports, and freight terminals with a pipeline of infrastructure worth USD 1.3 trillion, thus considerably raising demand for rental-based forklifts across construction sites, logistics hubs, and manufacturing clusters.

 Similarly, the investment by China in smart logistics under the 14th Five-Year Plan triggers construction in automated warehouses and bonded logistics parks that enable higher adoption of electrified and heavy-duty forklifts on a rental basis. In the U.S., reshoring and modernization of federal incentives for manufacturing under the Infrastructure Investment and Jobs Act have raised the requirement for scalable forklift fleets during upgrade work on factories, automotive plants, and supply chain nodes. Thus, this strong wave of government-backed infrastructure activity continues to drive the long-term forklift rental demand since businesses avoid high capital spending with a preference for renting during phased construction, seasonal peak loads, and transitional project cycles.

Market Restraint

Regulatory Bottlenecks in Industrial Zones Slowing Fleet Deployment

A major restraint in the forklift rental market is the increasing complexity of regulatory approvals required on various fronts: equipment movement and site access, and operational compliance across industrial and logistics zones. Several countries have seen government authorities stiffen regulations related to warehouse safety inspections, emission certifications, and equipment registrations, all leading to longer times required for verification before forklifts can be deployed on-site. For instance, under India's revised safety compliance guidelines for industrial establishments issued by the Directorate General Factory Advisory Services, all material-handling equipment entering large industrial parks must undergo mandatory inspection and documentation checks, often delaying rental deployment by several days.

Market Opportunity

Expansion of Multi-Site Contracting Across Regional Warehousing Networks

The rapid growth of distributed warehousing networks is creating a major opportunity for forklift rental providers through the rise of multi-site contracting models. Large retailers, FMCG distributors, and logistics operators are increasingly switching from single-location equipment agreements to unified contracts across multiple fulfillment centers, cross-docking facilities, and consolidation hubs. Whereas companies previously managed each location's forklift needs separately, this led to a lack of consistency in service terms, scattered fleet records, and operational inefficiencies throughout their regional supply chains. Firms are now harmonizing rental agreements across all warehouses in a region, enabling rental operators to supply harmonized fleets, centralized maintenance schedules, and uniform service-level commitments. Such multisite contracts will enable companies to redeploy forklifts between locations during seasonal surges, smooth fleet load across the network, and consolidate vendor management within a single procurement framework. Several large players in the distribution business adopting multisite rental agreements reported improvements in operational continuity, reduced downtime due to fleet imbalance, and improved accuracy in the movement of inventory across connected warehouses.

Regional Analysis

The Asia Pacific region accounted for 34.91% of the market share in 2025, leading the market. This leadership is underpinned by rapid expansion in the region's organized warehousing, increasing contract logistics activities, and the emergence of integrated distribution hubs across China, India, Japan, and Southeast Asia. The increased requirement for flexible, high-availability fleets for forklifts, which can be scaled up per load cycle, has also been driven by large-scale investments in manufacturing clusters, export-oriented industrial zones, and multi-floor automated warehouses. Furthermore, strong adoption of standardized rental frameworks by major logistics companies has acted to strengthen fleet utilization and improve reliability, subsequently driving the region to the top of global forklift rental demand.

Growth in the Chinese forklift rental market is propelled by the country's accelerated shift toward high-density warehousing and superior storage systems. Large distribution networks are increasingly shifting from fragmented in-house equipment ownership to centralized rental models that allow better fleet alignment with fluctuating shipment volumes. Major logistics operators have reported improved operational efficiency by replacing legacy equipment with rented standardized fleets across multiple distribution centers. Such operational uniformity is sustaining China's lead within the ecosystem of forklift rental in the Asia Pacific.

North America Forklift Rental Market Insights

North America is the fastest-growing region that is expected to record a CAGR of 7.84% from 2026–2034. The increased growth of cold-chain warehousing, modernization of regional distribution centers, and high churn in retail fulfillment networks are gaining momentum for rental-based material-handling solutions. Long-term rental agreements are gaining traction among companies operating in manufacturing, e-commerce, and food distribution across the U.S. to enable time-saving fleet management, shorten procurement cycles, and ensure consistent uptime against seasonal demand fluctuations. The maturity of its rental ecosystem is an added advantage, wherein large, multi-state rental providers offer standardized service agreements, quick-replacement models, and flexible contract structures that cater to dynamic supply chain operations.

Increasing adoption by nationwide retailers and third-party logistics providers of multi-location rental contracts is driving the U.S. forklift rental market toward robust growth. Centralized procurement teams are increasingly collaborating with rental operators to maintain uniform fleet specs across all distribution centers, reducing downtime from mismatched equipment and improving the consistency of throughput. Expanding regional fulfillment networks-especially regional fulfillment centers in southern and midwestern states-are creating strong demand for scalable rental fleets that can support rapid warehouse expansions without long lead times or capital commitments. These factors are positioning the U.S. as a key high-growth market within North America.

Source: Straits Research

Europe Market Insights

The forklift rental market in Europe continues to demonstrate growth due to the rapid modernization of warehousing networks and increasing adoption of shared logistics infrastructure in the region. Growing cross-border supply chains and consolidating distribution hubs are increasingly prompting enterprises to rely on rental fleets instead of permanent ownership. Furthermore, a growing number of automated warehouses and multi-level warehouses across Western and Northern Europe creates consistent demand for standardized forklift fleets that can be quickly mobilized without long procurement cycles. This trend toward flexible fleet sourcing is solidifying Europe's position in the global forklift rental landscape.

Advanced industrial park development and the growth of high-density logistics zones within states like Bavaria and North Rhine-Westphalia are driving growth in Germany's forklift rental market. Additionally, many of the large automotive and engineering firms in the region look to rental operators as a means of ensuring that there is no production downtime during manufacturing and periods of plant reconfiguration. Large logistics players operating out of major German hubs opt for multi-year rental contracts to facilitate smooth warehouse operations in peak inventory months, which helps amplify the rental demand throughout the country.

Latin America Market Insights

The rapid investment in warehousing, export-oriented manufacturing clusters, and regional distribution network expansion is driving growth in Latin America's forklift rental market. Companies operating throughout Mexico, Brazil, and Chile increasingly resort to rental-based fleets in order to deal with variable storage volumes and changing demand patterns as supply chains are becoming more complex and urban logistics corridors are emerging. The increasing presence of regional retail chains and multinational logistics providers is also strengthening the adoption of standardized forklift rental agreements with a view to operational consistency across countries.

Brazil's forklift rental market is seeing powerful momentum with large agribusiness exporters, food distribution hubs, and retail distribution facilities scaling up their material-handling operations. Companies operating along Brazil's southern and southeastern logistics corridors are adopting forklift rentals to accommodate seasonal crop movements, fluctuating warehouse loads, and expanding cold-chain facilities. Rental operators in the country are reporting growing demand for mid-capacity forklifts that support both warehouse storage and outbound transport operations, placing Brazil as a critical growth driver for the Latin American forklift rental market.

Middle East and Africa Market Insights

The Middle East and Africa region is developing steadily as industrial expansion, new logistics zones, and large retail distribution networks drive greater reliance on rental-based forklift fleets. A growing number of modern warehousing complexes and regionally integrated trade corridors is encouraging businesses to move toward scalable forklift rental solutions that match fluctuating cargo volumes and project-based building cycles. Accordingly, rental providers are increasingly working with manufacturing and logistics customers to supply multisite fleets that support continuous operations across industrial districts and port-connected storage areas.

Logistics operators expanding their storage and fulfillment capacities are leading to the growth of the UAE's forklift rental market, along with re-export hubs and large retail distribution centers. Companies located in major logistics zones also prefer flexible rental fleets to deal with rapid shifts in inbound and outbound cargo volumes. Businesses involved in large-scale infrastructure and commercial development projects are also using short-term and mid-term construction workflows enabled by forklift rentals. Increasing reliance on such adaptable rental fleets places the UAE as a strong and fast-evolving forklift rental market in the Middle East.

Forklift Type Insights

The Counterbalance Forklifts segment dominated the market with a revenue share of 41.26% in 2025, driven by its broad applicability across logistics hubs, manufacturing plants, retail warehouses, and construction yards, where businesses prefer versatile lifting equipment that can handle diversified load profiles. Their stability, easy maneuverability, and compatibility with a wide range of pallet and container types maintain counterbalance forklifts as the preferred choice for indoor and outdoor operations.

The Reach Trucks segment is expected to record the highest growth with a projected CAGR of about 6.74% during the forecast period. Modern high-bay warehousing, propelled by the growth in e-commerce fulfillment centers and space-optimized storage systems, is driving reach trucks increasingly. The capability of operating in narrow aisles and lifting loads to higher rack levels makes them indispensable for automated and semi-automated warehouse layouts.

Source: Straits Research

Lifting Capacity Insights

The 2–5 Tons generated the highest revenue share of 38.57% in the year 2025 due to the fact that this particular capacity range finds its application in most warehouses, manufacturing plants, retail distribution centers, and automotive assembly units. In addition, this category supports valuable day-to-day operations such as pallet movement, mid-range loading, dock operations, and in-plant transfers, which make it the default choice for businesses looking for rentable equipment that is reliable and versatile.

The segment of 5–10 Tons is expected to grow at the fastest rate during the forecast period. Increasing utilization of high-capacity forklifts in heavy industries, large-format warehouses, steel and metal processing units, and yards for construction materials contributes to faster growth. With expansion in various industries, such as bulk material handling, oversized components, and heavier pallets, demand for mid-heavy lifting solutions has increased significantly.

Rental Duration Insights

The Short-Term Rental segment accounted for the largest share of the market, at 39.84% revenue share in 2025. This reflects the development of short-term rentals' demand for flexible and rapid-deployment lifts to cater to warehousing, manufacturing, retail, and construction sites. Companies use short-term rentals to handle seasonal peaks, promotional surges, project-based workloads, and equipment breakdowns without being tied down to long-term contracts.

The segment of Long-Term Rental is expected to grow at the fastest rate, exhibiting a projected CAGR of about 6.42% during the forecast period. This accelerated growth is driven by firms increasingly adopting multi-year rental contracts to secure predictable costs, guaranteed maintenance, and consistent equipment availability.

End Use Industry Insights

The Logistics and Warehousing segment will experience the fastest growth at 6.21% owing to rapid expansion in e-commerce fulfillment centers, a surge in goods movement around regional distribution hubs, and growing requirements for high-velocity inventory handling. Companies are moving toward multi-tier storage systems and continuing to ramp up throughput in anticipation of same-day and next-day delivery expectations; as they do so, their reliance on forklift rentals for seasonal spikes and variable order volumes-as well as space-optimized warehouse layouts-will be common.

Competitive Landscape

The forklift rental market of the globe is at a state of moderate consolidation, with established material-handling manufacturers and large-scale rental providers vying in an attempt to shape competition in the industry. A few major players hold a significant share of the market due to their extensive equipment portfolios, expansive dealer networks, and strong presence across warehousing, manufacturing, logistics, and industrial applications.

The key companies in the market include Toyota Material Handling Group, KION Group, Jungheinrich AG, and others. Industry leaders are focused on expanding their global presence through strategic rental fleet additions, implementing standardized full-service rental programs, and partnering with distribution partners. The competition continues to increase as companies bridge the gap in fleet availability, ability to provide higher value services, and win multi-location rental contracts in order to achieve a stronger position in the global forklift rental market.

SILA Group: An Emerging Market Player

SILA is an integrated services platform based out of India, marking the company's foray into the forklift rental market in partnership with Nilkamal Ltd. The company distinguished itself with MHE Rental Solutions, comprising an all-electric fleet of forklifts designed for warehousing and manufacturing operations.

• In August 2025, SILA announced the launch of its MHE Rental Solutions business, supported by a staff of 30,000+ employees and operations across more than 125 cities within the country. The move also involved over 1,000 trained equipment operators as part of SILA's rapid expansion in logistics and warehouse equipment rentals.

Thus, SILA has emerged as a major player in the forklift rental market by utilizing its nationwide presence, a manpower of thousands, and disrupting conventional rental models with its innovative all-electric fleet.

List of key players in Forklift Rental Market

1. Toyota Material Handling
2. KION Group
3. Jungheinrich AG
4. Sunbelt Rentals
5. Herc Rentals
6. Caterpillar
7. Crown Equipment Corporation
8. Ashtead Group
9. Loxam
10. Boels Rental
11. Ramirent
12. Nishio Rent All
13. Combilift Depot
14. H&E Equipment Services
15. Aggreko
16. EquipmentShare
17. BigRentz
18. Dozr
19. Volvo CE
20. Hitachi Construction Machinery
21. Others

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Strategic Initiatives

• August 2025: Mitsubishi Logisnext Co., Ltd. demonstrated its automated forklift equipped with SynfoX technology at the 4th Innovation Expo in Tokyo. The forklift was designed to support warehouse automation and rental operations, integrating MHI’s advanced digital technologies.
• September 2025: Crown Equipment Corporation unveiled its new WJ 50 Series Compact Pallet Truck at IMHX 2025 in Birmingham, UK. The product launch highlighted improved ergonomics and durability, designed specifically for warehouse and rental operations. The company emphasised that the new series reduces operational costs by up to 12% compared to previous pallet truck models, strengthening Crown’s rental fleet offerings.
• March 2025: Jungheinrich AG presented its latest connected forklift solutions at LogiMAT 2025 in Stuttgart, including the new ETV 3i reach truck. The company highlighted improved ergonomics and energy efficiency, targeting short-term rental customers in Europe.
• January 2025: Toyota Material Handling, the North American leader in material handling products, expanded its portfolio with the launch of two new eco-friendly forklift models, the Integrated Mid & Large Electric Pneumatic Forklifts and a refreshed Core Electric Forklift series. These models were designed to enhance operational efficiency and sustainability in rental fleets.