Global Power Tools Market By Tool Type (Drilling and Fastening Tools, Sawing and Cutting Tools, and Other Tool Types), By Mode of Operation (Engine Driven, Electric, Pneumatic, and Hydraulic), By Applications, By Region and Companies - Industry Segment Outlook, Competition Scenario, Trends, and Forecast 2023-2032
- Published date: Oct 2023
- Report ID: 26871
- Number of Pages: 386
In 2022, the Global Power Tools Market size was valued at USD 33.8 Billion, and this market is estimated to reach USD 52.4 Billion growing at a CAGR of 4.6% during the forecast period of 2023 to 2032. Power tools can be activated with a power source other than manual labor.
These tools are used in many applications, including production and assembly lines, maintenance, repair, packaging, and DIY. Power tools are highly sought after because of their ease and efficiency, low labor costs, and portability.
The primary purpose of power tools is to cut, drill, saw, and polish materials. Many industries, including automotive, construction, aerospace, oil and gas, petrochemical, and others, have been transformed using energy-efficient and handy tools. These tools allow for greater comfort, ease of use, and higher results.
Due to cordless equipment’s increased use, the global power tool market is expected to grow substantially over the forecast period. Factors like high maintenance costs, fluctuating prices for raw materials, and moving parts costs hinder the market’s growth.
Cordless technology has affected the global market to grow substantially over the forecast period. This is due to increased operating hours and the adoption of cordless equipment.
- Market Growth: The world market for power tools experienced a significant increase, reaching an amount of USD 33.8 billion by 2022. The market is expected to grow by approximately 52.4 billion dollars by 2032. 52.4 billion in 2032. This is an astounding CAGR of 4.6% during the span between 2023 and 2032.
- Tool Type Analysis: Analyzing the Type of Tool Market for sawing and cutting tools will likely expand at a constant pace during the time period forecast. Power saws are faster than standard saws require less effort and take less time to fix.
- Method of Operation: The power tool market share of the market for the electric cordless option was significant. It is expected to keep its lead on the power tools over the course of the forecast.
- Application Analysis: The largest predicted CAGR could be observed within the residential sector. This is attributed to the increasing popularity of DIY lifestyle.
- Market Drivers: Major reasons for the power tools market are the expanding construction sector, the increasing use of technology that is automated, and the rise in renovation and home improvement initiatives.
- Restrictions: The most significant issues in the marketplace is user instruction and safety education to prevent accidents and guarantee the efficient use of tools. In addition, the growth of markets is impeded by misinformation or misinterpretations about the power tool complex.
- Opportunities: Innovations in manufacturing technologies, increased investments in research and development as well and changing user preferences provide the potential for growth to companies operating within this sector. Innovative and eco-friendly power tools as well as battery technology are other fields with significant growth potential.
- Trends: Significant power tool trends in the marketplace include the growing use of portable power tools and the integration of smart technology, as well as the creation of user-friendly and ergonomic designs that improve accessibility and security.
- Regional dominance: With 32.4% of revenues, Asia Pacific accounted for the majority of. The main factors behind this region’s growth in income are rapid urbanization, industrialization, as well as the advancement of technology in the industrial sector.
- The key players: operating in the field of power tools are industry leaders like Atlas Copco AB, Emerson Electric Co., and Hilti Corporation as well as many more who are actively involved in the advancement and development of power tool technology.
Extensive Use of Power Tools in the Manufacturing and Construction Sector drives the Growth of the Power Tools Market.
Power tools are used for many purposes, including assembly, production lines, repair, maintenance, and other packaging jobs. These power tools allow for better operation and handling and help to minimize time.
It is also a great tool for increasing profitability and productivity. These are the key factors driving the market forward across many industries in the future.
The power tool market is expected to expand exponentially due to the increased demand in both the automotive and manufacturing sectors for power tools. The power tools are used in assembly lines and automotive production, allowing faster job completions.
This also reduces the time required to finish the job within the timeframe. The demand for power tools is increasing due to the construction industry’s increased use of drills, wrenches, and sanders.
Power tools are used extensively in vehicle manufacturing repair, and maintenance. The overall market growth is also driven by technological advances, increasing use of cordless tools that provide external power sources with mobility, and increased funding from the global governments for power tools market research.
Price Fluctuation of Raw Materials Hinders the Power Tools Market Growth.
The power tool market is experiencing some challenges. High maintenance costs for moving parts are some of the main factors hindering power tool growth. Market growth is also affected by fluctuations in raw material prices, which are necessary to make power materials.
Power tools are expected to generate significant demand from developed countries such as the United States, the United Kingdom, Japan, China, and India. However, raw material price volatility is a key factor affecting market growth.
Generally, these tools are made of steel, metal, and aluminum. These materials are typically imported from other countries, and exchange rates and rising market volatility primarily drive price fluctuations. Therefore, regular price fluctuations of raw materials mainly impede the market’s growth.
Tool Type Analysis
Drilling and Fastening Tools Account for the Majority of the Power Tools Market.
Drilling Tools dominated the segment and will continue to dominate during the forecast period. Drills are simple to use and cheaper than other power tools. They are used in both industrial and domestic applications. The power drill market also performs basic repairs and maintenance, which drives segmental growth.
The segment of sawing and cutting tools is expected to grow at a healthy rate during the forecast period. Power sawing tools are much faster than traditional saws and require less time and effort to fasten.
Sawing tools are used extensively in forests, agriculture, and industries to improve productivity. Industrial sewing tools are an important contributor to the growth and development of this segment.
The segment is expected to grow with the surge in demand for material removal tools at industrial sites, such as car factories and metal processing workshops. Grinders, sanders, and other material removal tools are widely used in industrial and residential projects.
Mode of Operation
Cordless Electric Tools helps Electric Power Tools to Dominate the Market
The majority of global revenue comes from the electric mode of operation. This large percentage can be attributed to the ease of use and efficiency of electric tools. The increased power of the electric power tools market has been possible due to the advent of powerful battery packs. Further, the electric operation model can be divided into corded or cordless.
The market share held by the cordless electric mode was significant. It is expected to continue its dominance of the power tools market during the forecast period.
Many power tool manufacturers are updating their product lines and expanding their customers’ cordless power tool offerings. The cordless tools can be used for both industrial and household purposes.
Engine-driven power tools are anticipated to show significant growth during the forecast period. Engine-driven power tools are used daily, from pressure washers and power generators to lawnmowers and pumps to snow blowers, trimmers, and multi-purpose engines.
These devices and systems are powered by engine-driven power tools, which convert energy into electrical or mechanical energy. Over the next few years, there will be a shift towards electronic ignition and fuel injection systems. This is mainly due to increasing emissions regulations.
As electric tools become more popular, the demand for pneumatic tools will decrease. Although pneumatic tools are used to compress air, they are more common than electric ones and can result in overuse of energy.
The U.S. Department of Energy states that tools powered by compressed air are less effective for manufacturing plants. These tools are often misused. Moderate growth is expected for hydraulic power tools during the forecast period.
Industrial Applications Dominate the Power Tools Market with a Major Share
Industrial applications occupy the largest share of the global power tool market. Industries use tools such as sawing, cutting, and drilling regularly. The rise of industrial applications can be attributed to technological innovation and these industries’ acceptance of advanced technology.
The rise of the industrial segment is due to the popularity of power tools in the construction and automotive industries. Despite being the largest stakeholder, the industrial segment still holds most of the market.
Construction applications drive the market for power tools. The rapid growth of the construction industry and the large deployment of power tools in construction projects is the main reason for the segment’s success. With the help of cordless power tools, basic functions like cutting, drilling, and grinding can all be done quickly and efficiently.
The power tool market revenue is expected to grow due to the increased use of power tools in construction.
In addition, heavy-duty power tools are a constant requirement, which has led to product innovation in the form of batteries, motors, and other technologies. The market will continue to expand due to rising construction spending in countries like the U.S., the U.K., and China.
The highest projected CAGR is in the residential segment. This is due to the increasing popularity of DIY culture.
Consumers are more inclined to use their DIY skills in residential applications due to increased do-it-yourself (DIY) activities and high capita spending in North America and Europe on DIY tools. Interior home renovations, plumbing, gardening, and other activities are all possible.
In developing countries, the market for DIY tools will also expand. DIY products are cheaper than hiring labor, which means there is a greater demand for power tools that can be used for residential purposes.
E-commerce allows consumers easy access to discounted products and has made it possible for them to save money. These factors will likely increase the demand for power tools for residential applications.
Key Market Segments
By Tool Type
- Drilling and Fastening/Driving Tools
- Sawing and Cutting Tools
- Material Removal Tools
- Routing Tools
- Demolition Tools
- Other Tool Types
By Mode of Operation
- Engine Driven
- Corded Power Tools
- Cordless Power Tools
- Oil and Gas
- Other Applications
Technological Advances in the Automotive Sector Created Many Opportunities for the Power Tools Manufacturing Companies.
A positive outlook for the power tools market is expected as demand and production capacity will grow over the next decade. Players can profit from emerging markets and invest in them due to rising automobile sales and rapid urbanization.
With the expansion of emerging markets, the demand for products in the construction industry will increase. Market growth is expected to be driven by the repair and construction of historic structures and new building construction.
The rise of IoT technology and improved intelligent connectivity systems in assembly line operations have brought innovations in various intelligent connectivity tools.
Major tool manufacturers are therefore committed to producing intelligent and connected power tools, which should offer many growth opportunities in the future.
For example, Milwaukee Tool Corporation (a Brand of Techtronic Industries) released its ONE-KEY, a digital platform for devices and tools. This cloud-based platform allows one to customize speed and torque for various applications.
Atlas Copco AB and Robert Bosch Tool Corporation are just a few companies developing innovative power tools with energy-efficient technologies. Multi-purpose machines are becoming a key focus of industry leaders.
They can be used for multiple purposes and with precise precision. Consumers are looking for lightweight, efficient, and compact cordless power tools that can be used on high-torque machines.
Companies can achieve disruptive innovation by leveraging the increasing demand from consumers for high-quality, error-free products. Hilti Corporation, for example, introduced almost 40 new tools and accessories in January 2020.
The new tools include a cordless, battery-powered fastening tool called ‘BX 3-BT’ and other tools and accessories. The future will see the creation of new products.
Asia Pacific has the Biggest Market Share in the Global Power Tools Market.
With 32.4% of the total revenue, Asia Pacific accounted for the largest share. This region’s primary drivers of revenue growth are rapid industrialization, urbanization, and industrial developments.
The market is growing due to the increasing development activities of various countries, such as China, and India, and supportive government policies to expand the manufacturing sector.
Taparia Tools Ltd, a 53-year-old manufacturer and exporter of precision make quality handtools, is expanding its manufacturing facilities.
It was a part IndoMach Industrial & Machinery Expo in Hyderabad in 2022. The event focused on collaborating and showcasing existing and improved products with distributors.
The North American market is expected to grow significantly during the forecast period. Growth in industrial and infrastructure development, along with a shortage of low-cost labor leading to the rapid adoption of DIY activities, are some of the key factors driving the revenue growth of the market in the region.
The presence of major players with increasing development and innovation activities to improve existing tools is another key factor contributing to the market’s growth.
Key Regions and Countries
- North America
- The US
- The UK
- Russia & CIS
- Rest of Europe
- South Korea
- Rest of APAC
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of MEA
Key Player Analysis
Major players in the market accounted for the majority of the revenue share. Companies enter into mergers and acquisitions and strategic partnerships to strengthen their product portfolios and differentiate themselves from their competitors.
In addition to inorganic growth strategies, companies invest in research and development to provide technologically advanced products.
For example, Robert Bosch introduced his Toolbox app that connects to power tools to increase efficiency. They provide services such as customized power control and management tools using smartphones. The emergence of connected power tools has further increased competition in the market.
Robert Bosch GmbH, Techtronic Industries Co. Ltd., and Emerson Electric Co. are some of the key market players in the power tools market.
- Atlas Copco AB
- Emerson Electric Co.
- Hilti Corporation
- Ingersoll-Rand plc.
- Koki Holdings Co., Ltd.
- Makita Corporation
- Robert Bosch GmbH
- Snap-on Incorporated
- Stanley Black & Decker Inc.
- Techtronic Industries Co. Ltd.
- Enerpac Tool Group
- Other Key Players
- In September 2021, Robert Bosch Power Tools GmbH announced that it is expanding its comprehensive line of wood cutting, sawing, and woodworking solutions with the launch of the 18V and 12V cordless grinder GEX12V-5 brushless 5-inch. The newly launched rechargeable sander is specifically designed for comfort and optimum balance.
- In August 2022, A group of scientists at MIT in Massachusetts developed a powerful tool called Self-Propelled Transporters to increase wind farm energy output. You can improve the energy output of these wind farms by accurately modeling wind flow and optimizing control methods.
Report Features Description Market Value (2022) USD 33.8 Bn Forecast Revenue (2032) USD 52.4 Bn CAGR (2023-2032) 4.6% Base Year for Estimation 2022 Historic Period 2016-2022 Forecast Period 2023-2032 Report Coverage Revenue Forecast, Market Dynamics, COVID-19 Impact, Competitive Landscape, Recent Developments Segments Covered By Tool Type – Drilling and Fastening Tools, Sawing and Cutting Tools, Material Removal Tools, Routing Tools, Demolition Tools, and Other Tool Types; By Mode of Operation – Engine Driven, Electric (Corded Power Tools, and Cordless Power Tools), Pneumatic, and Hydraulic; By Applications – Industrial, Construction, Agriculture, Residential, Automotive, Aerospace, Oil and Gas, and Other Applications. Regional Analysis North America – The US, Canada Europe – Germany, France, The UK, Spain, Italy, Russia & CIS, Rest of Europe APAC- China, Japan, South Korea, India, ASEAN, Rest of APAC Latin America – Brazil, Mexico, Rest of Latin America Middle East & Africa – GCC, South Africa, Rest of MEA Competitive Landscape Atlas Copco AB, Emerson Electric Co., Hilti Corporation, Ingersoll-Rand plc., Koki Holdings Co., Ltd., Makita Corporation, Robert Bosch GmbH, Snap-on Incorporated, Stanley Black & Decker Inc., Techtronic Industries Co. Ltd., Enerpac Tool Group, and Other Key Players. Customization Scope Customization for segments, region/country-level will be provided. Moreover, additional customization can be done based on the requirements. Purchase Options We have three licenses to opt for: Single User License, Multi-User License (Up to 5 Users), Corporate Use License (Unlimited User and Printable PDF)
Frequently Asked Questions (FAQ)What is the value of the global Power Tools Market?
In 2022, the global Power Tools Market was valued at USD 33.8 billion.What will be the market size for Power Tools Market in 2032?
In 2032, the Power Tools Market will reach USD 52.4 billion.What CAGR is projected for the Power Tools Market?
The Power Tools Market is expected to grow at 4.6% CAGR (2023-2032).List the segments encompassed in this report on the Power Tools Market?
Market.US has segmented the Power Tools Market Market by geographic (North America, Europe, APAC, South America, and MEA). By Tool Type, market has been segmented into Drilling and Fastening/Driving Tools, Sawing and Cutting Tools, Material Removal Tools and Routing Tools. By Mode of Operation, the market has been further divided into Engine Driven, Electric, Pneumatic and Hydraulic.Which segment dominate the Power Tools industry?
With respect to the Power Tools industry, vendors can expect to leverage greater prospective business opportunities through the Drilling and Fastening/Driving Tools segment, as this dominate this industry.Name the major industry players in the Power Tools Market.
Atlas Copco AB, Emerson Electric Co, Hilti Corporation, Ingersoll-Rand plc, Koki Holdings Co Ltd, Makita Corporation and Other Key Players are the main vendors in this market.
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