Canada Material Handling Market Size, Share, Opportunities, And Trends By Products (Automated Guided Vehicles, Automated Storage And Retrieval Systems, Trucks And Lifts, Cranes, Others), By Application (Warehousing And Distribution, Airport Baggage Handling, Bulk Handling, Postal And Parcel Delivery, Assembly, Packaging), And By Industry Vertical (Manufacturing, Healthcare, Chemical, Paper, Food And Beverage, Others) - Forecasts From 2025 To 2030

The Canada Material Handling market is expected to grow at a compound annual growth rate (CAGR) of 3.87% from US$4.089 billion in 2025 to US$4.944 billion in 2030. 

The market is projected to increase at a substantial pace with increasing urbanization and expanding industrialization, contributing to the rise in the adoption of automation in the region. Additionally, the integration of automation in different industries like manufacturing and warehousing is improving effectiveness, accuracy, and efficiency by tending to labor issues and guaranteeing reliable productivity. With the growing labor costs, the market is predicted to grow with technological advancements such as the utilization of material handling solutions like automated guided vehicles, automated storage system and cranes will increase, fueling the market expansion in the country. 

Moreover, the construction industry drives the development of the material handling industry due to expanded construction activity, which requires heavy-duty equipment such as cranes, trucks, and hoists for handling large volumes of materials and equipment. According to Government of Canada data from June 2024, The Investing in Canada Plan invested more than $151 billion from 2016 to 2024 which comprises 96,000 ventures related to infrastructure development in the region, with 93% of them completed or underway. This will contribute to the regional market expansion during the forecasted period.

Additionally, regional material handling companies are developing new and innovative products for warehousing storage facilities that require logistic and handling solutions, such as automated storage and retrieval systems and an efficient supply chain, to move their products much closer to the end consumers in the country.

 What are the drivers of the Canada material handling market?

• Growing demand from the e-commerce industry is projected to propel the Canada Material Handling market expansion. 

The rise in the e-commerce market in Canada leads to an increased requirement for efficient material handling systems. Retail businesses find it difficult to streamline their operation efficiently and fulfill growing online customer demand for accurate and rapid deliveries. This leads to increasing adoption of efficient systems like automated material handling solutions to handle and process the demands faster at a minimal cost. International Trade Administration (ITA) report of November 2023 stated that Canada accounted for more than 27 million e-commerce users in 2022, making up 75% of the total population of the country. This figure is anticipated to increase to 77.6% by 2025, demonstrating a consistent increment in retail e-commerce sales. Additionally, e-commerce sales reached $2.34 billion in March 2022, with retail e-commerce sales anticipated to reach $40.3 billion by 2025. This rising e-commerce will increase the necessity for material handling solutions like automated guided vehicles and automated sorting systems for quick accuracy and increased productivity.

This increased e-commerce is also changing the approach towards the supply chain strategy of companies. Modern technology, such as robotics and artificial intelligence, is being implemented to update inventory management and order fulfillment procedures. These technologies improve speed and precision, which is critical in the increasingly competitive industry for meeting client expectations.

The integration of data analytics into material handling systems allows companies to better forecast demand and manage resources. This capability is essential because consumer preferences are changing rapidly, and retailers need to be agile in their responses.

Companies that invest more in innovative material handling solutions are likely to gain the edge. This is due to a growing interest in the areas of efficiency, speed, and accuracy that would further boost advancements in the material handling sector and make sure that it can meet the increasing needs of online shopping in Canada. With these developments, the future of the Canada Material Handling market looks bright and promising, ready to grow significantly as it caters to the dynamic needs of the e-commerce industry.

• Increasing demand for trucks and lifts is anticipated to fuel the Canada material handling market expansion. 

This growth is due to the replacement of people at warehouses with automated trucks and lifts, which is owing to high wage bills and the desire to enhance operational effectiveness in all supply chain activities. An increasing number of construction projects in developing countries is driving the demand for small trucks and specialized heavy-lifting equipment.

Moreover, the booming logistics industry in the country will further push the market’s growth over the next few years. Automated storage and retrieval systems (AS/RS) will witness the fastest growth during the forecast period owing to the increasing demand for automated machines and equipment that reduce floor space, labour costs, and inventory levels to enhance productivity while reducing manufacturing cycle time. 

Aside from these factors, technological advancements have a huge impact on the growth of the sector. The incorporation of IoT into material handling equipment provides real-time asset tracking and monitoring, hence improving the inventory management process. This technology enhances decision-making processes and warehouse operational efficiency, making it a necessary component in modern warehouses. Additionally, more awareness of sustainability is making organizations invest in energy-efficient material handling technologies. The growing concern about carbon footprint has led to an increase in demand for electric or hybrid source-powered equipment. It is a step towards more environmentally friendly methods, besides meeting the regulations, as the environmentally conscious customers also respond positively to such techniques.

As organisations continue to adapt to changing market needs, investments in innovative material handling technologies are likely to rise, putting Canada's material handling market on track for long-term growth.

Canada Material Handling Market is analyzed into the following segments

• By application, warehousing & distribution is anticipated to hold a substantial market share

Canada holds great potential for industrial expansion, and over the years, the country has shown active participation in strategic investment to bolster the same. Besides this, the positive economic growth and growing demand for commodities in major provinces, namely Ontario, Alberta, British Colombia, and Quebec, among others, have accelerated the need for storage and warehousing facilities to maintain the supply of goods for a longer period. 

According to Statistics Canada, in 2023, the total number of warehouse establishments stood at 5,096, of which 2,723 had one or more employees while 2,373 were non-employers. The same source further stated that provinces such as Ontario had 609 establishments with employee strength from 5 to 99, and 16 establishments employed more than 500 personnel. 

Furthermore, the growing trade business has bolstered the need for improved distribution and warehousing centers in Canada, leading to various investment implementations. For instance, in April 2024, Whiteriver Logistics Inc. announced the acquisition of 16 acres of land in Rosser municipality, where the company will develop a 50,000 Sqf warehouse & distribution center. The investment of the project will be nearly $17 million and will bolster Whiteriver’s supply chain business. 

E-commerce will undoubtedly transform the warehouse and distribution industry as this business continues to grow. Companies are increasingly using automation solutions, such as robotics and artificial intelligence, to drive streamlines and productivity. These improve order accuracy while reducing labour expense when processing manually.

Warehouse methods also focus on sustainability. Businesses are being interested in using energy-saving technologies and environmentally friendly products to reduce their carbon emissions. This will most likely bring in environmentally conscious customers and enhance efficiency in general operations. Incorporation of modern data analytics will also change the approach towards inventory management in warehouses. With the real-time insights into business, the business can opt to manage its stock levels so as to minimize waste. Thus, these trends continue to alter the face of warehousing and distribution in Canada. The future businesses who are open-minded towards innovation will be well poised to respond to the changing nature of a market.

Recent developments in the Canada Material Handling market:

• September 2024- Hangcha Forklift Canada launched a new range of material handling equipment on 25 September 2024, before its launch in the Canadian market scheduled for 1 October 2024. The new series includes the 0.2T A Series Storage Assist Vehicle, which is tailored for narrow spaces, and the XC Series Electric Lithium-ion Personal Carrier, which provides efficient transportation capabilities. It also includes a 3.5-5.5T X Series Forklift Truck with lithium power, a 2.5-3.5T High-Voltage Lithium Battery Rough Terrain Forklift, and Rough Terrain Scissor Lifts focused on improving productivity in outdoor conditions.
• June 2024- AlmaCrawler, a leading manufacturer of aerial work platforms and material handling solutions, announced a new partnership with UPequip for the exclusive distribution of its products in Canada. The recently signed agreement aims to increase AlmaCrawler's presence in the Canadian market by leveraging UPequip's established reputation in the compact-tracked aerial work platform sector. Martin Leblanc, General Manager of UPequip, was excited about the partnership, saying that it would create synergy with their existing product lines. Andrea Artoni, CEO of AlmaCrawler, underlined the common values of innovation and customer satisfaction. This partnership will be able to provide advanced aerial access and material handling solutions to meet the growing demands of the Canadian market.
• March 2024- The Brandt Group of Companies aims to expand its material handling division throughout Canada, creating up to 300 new jobs over the following three years. The latest development is a result of its acquisition of Cervus Equipment in 2021; this expansion will set a dealer network that will specifically promote and serve customers. Brandt's CEO, Shaun Semple, believes that the material handling sector requires a nationwide alternative, through which the company can capitalize on experience acquired in other business pillars. It is going to rake in lots of revenue and show that Brandt is indeed committed to the industry.

The Canada material handling market is analyzed into the following segments:

• By Products 
  • Automated Guided Vehicles
  • Automated Storage and Retrieval Systems
  • Trucks and Lifts
  • Cranes
  • Others
• By Application  
  • Warehousing and Distribution
  • Airport Baggage Handling
  • Bulk Handling
  • Postal and Parcel Delivery
  • Assembly
  • Packaging
• By Industry Vertical   
  • Manufacturing
  • Healthcare
  • Chemical
  • Paper
  • Food and Beverage
  • Others

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key benefits for the stakeholders

2. RESEARCH METHODOLOGY

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. CANADA MATERIAL HANDLING MARKET BY PRODUCTS  

5.1. Introduction

5.2. Automated Guided Vehicles

5.3. Automated Storage and Retrieval Systems

5.4. Trucks and Lifts

5.5. Cranes

5.6. Others

6. CANADA MATERIAL HANDLING MARKET BY APPLICATION  

6.1. Introduction

6.2. Warehousing and Distribution

6.3. Airport Baggage Handling

6.4. Bulk Handling

6.5. Postal and Parcel Delivery

6.6. Assembly

6.7. Packaging

7. CANADA MATERIAL HANDLING MARKET BY INDUSTRY VERTICAL   

7.1. Introduction

7.2. Manufacturing

7.3. Healthcare

7.4. Chemical

7.5. Paper

7.6. Food and Beverage

7.7. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. King Materials Handling

9.2. Canada Materials Handling Ltd.

9.3. Bastian Solutions

9.4. Wajax

9.5. FWS Group

9.6. Crown Equipment Corporation 

9.7. Linde Material Handling (KION Group)

9.8. Toyota Material Handling Group

9.9. B.I.D. Canada Ltd.

9.10. Alta Equipment Group Inc. 

9.11. Daifuku Co., Ltd.

9.12. SSI Schaefer Group

King Materials Handling

Canada Materials Handling Ltd.

Bastian Solutions

Wajax

FWS Group

Crown Equipment Corporation 

Linde Material Handling (KION Group)

Toyota Material Handling Group

B.I.D. Canada Ltd.

Alta Equipment Group Inc. 

Daifuku Co., Ltd.

SSI Schaefer Group