ID: MRFR/IA - E/2429-CR | July 2019 | Region: Global | 95 pages
Market Research Future (MRFR) predicts the Global Power Tools Market to surpass USD 36,060 Million at an estimated CAGR of 4.82% from 2015 to 2025 (forecast period). Power tools are a range of tools and mechanical devices that work when an additional power source and mechanism is initiated and not manually. Generally, these could include electric motors and compressed or internal combustion engines. Power tools include a wide range of devices, from hand-held machine drills to hydraulic presses and pneumatic tools. Power tools may be used for a variety of applications, such as household tasks, construction, gardening, etc. The growing demand from the industrial sector, increasing demand from the professional segment, and increasing usage of power tools for DIY & household activities are the main drivers of the power tool markets.
The power tools market has had a negative effect in recent months as a result of the lockdowns imposed in most countries across the globe. These lockdowns have resulted in a temporary halt to the production of power tools since the outbreak of the pandemic in December 2019. The lockdowns imposed also hindered household tasks, construction, gardening, and repair services requiring power tools as the key equipment, thus affecting the market for power tools, which are different types of tools and mechanical devices operated using a power source and mechanism and cannot be operated manually. Usually, these could include electric motors and compressed or internal combustion engines. Power tools involve many types of devices, from hand-held machine drills to hydraulic presses and pneumatic tools. Power tools may be used for different uses, such as automobiles, household tasks, construction, gardening, etc. The outbreak of COVID-19 had a negative effect on the market for power tools, but the demand for these products is expected to rebound in the coming months as many governments are planning to lift the lockdowns in a phased manner.
Increasing demand from the industrial sector
Growth in the industrial sector is predicted to drive the market for power tools. The use of power tools across industries in both developed and developing countries is expected to increase due to the lack of availability of skilled labor and high labor costs.
High usage of power tools for DIY & household activities
Power tools are increasingly used in different applications for household purposes. They are used in applications such as drilling, cutting, and fitting. The demand for power tools is, therefore, expected to increase during the forecast period due to the widespread use of power tools in household applications.
Fluctuation in the raw materials price
The volatility in the price of raw materials is a significant constraint for the global power tools market. The raw material used mainly in power tools is steel and aluminum. Steel is costly compared to any other metal. The price of the raw material relies on the terms and duration with the steel manufacturers, generally for one year or a multi-year period. The availability of raw materials depends on global and local demand and government regulations. The price of steel is quite fluctuating due to the fact that the cost of the material can increase or decrease. If the price of steel is high, the cost of the material will also increase. This rise in material costs hinders the development of the market for power tools.
Global Power Tools Industry has been divided based on Type and Application.
Among types, the engine-driven power tools segment led the global market
The global market was led by the engine-driven power tools segment in 2018 and is expected to continue during the forecast period. Engine-driven power tools are commonly used in construction sites and various industries. Engine-driven power tools are costly compared to electric alternatives.
Industrial application leads the global market
Industrial use of power tools leads to improved productivity, precision, and perfection by reducing human error and improving the safety of the workers. The industrial segment comprises industries such as automotive, construction, and electronics—increased demand for automation and rapid industrialization promote the use of power tools.
By region, the global power tools market is segmented into North America, Europe, Asia Pacific (APAC), and the Rest of the World.
APAC to lead the global market
The global power tools industry was dominated by the Asia Pacific in 2018, followed by North America and Europe. The Asia Pacific dominated the global market for power tools due to the rapid rise in industrialization and urbanization across India, China, and Southeast Asian countries such as Malaysia and Indonesia. In addition, the increase in export value and the volume of power tools to the global market is also boosting the growth in the domestic market.
North America to follow Asia Pacific
North America held the second biggest market for power tools due to the growth in the manufacturing industries and the well-established distribution network. However, high labor costs are the primary concern for the producers in the region.
Major players operating in the global market for power tools have implemented key strategies, like product launch and business expansion, to improve their market outreach and maintain intense competition in the market.
In March 2020, Makita introduced a new 18V X2 LXT (36V) Cordless String Trimmer (XRU18). With power equal to a 30cc gas string trimmer, the XRU18 is suitable for professional landscapers to use for aggressive applications like cutting bushes and tall weeds.
In April 2019, Bosch introduced GBH18V-26D 18V EC Brushless 1 In. SDS-plus Bulldog Rotary Hammer with CORE18V battery. The GBH18V-26D rotary hammer weighs 5.8 lbs (only tool) and provides 1.9 ft-lbs of impact energy for superior impact-to-weight ratio and improved performance in heavy-duty drilling and chipping applications in concrete.
This study forecasts revenue growth at global, regional, and country levels and offers an overview of the latest developments in the sector in each of the sub-sectors from 2015 to 2025. For the purpose of this analysis, MRFR has segmented the global power tools market report by type, application, and region.
Frequently Asked Questions (FAQ) :
The Global Power Tools Market is poised to grow over USD 36,060 Million by 2025 at an estimated CAGR of 4.82% through the forecast period.
The key players of the global power tools market are Robert Bosch Tool, Hitachi Koki, Stanley Black & Decker, Makita Corporation, Hilti Corporation, Husqvarna, Techtronic Industries, Snap on, Festool And Otto Baier.
According to the research report published by MRFR (Market Research Future), this market will be highly successful and expand enormously during the forecast period of 2020-2027.
The Global Power Tools Market is poised to grow over USD 36,060 Million by 2025.