According to a recent study by Ken Research, the global power tools market is projected to reach approximately $50 billion by 2028, driven by rising demand from manufacturing and construction industries, as well as increased use of power tools in households. Power tools are classified as either stationary or portable. Stationary tools are used for precision work, while portable tools offer low weight and minimal heat generation.
The Ken Research study identified three key insights from their findings. Firstly, the growth of construction and manufacturing industries worldwide is expected to propel the power tools market. Secondly, the use of power tools in the automotive industry is driving market growth. Finally, fluctuating prices and disruptions in the supply of raw materials pose significant challenges to the market.
In terms of the construction and manufacturing industry, the report highlighted that multiple power tools are used in manufacturing, including impact wrenches, electric screwdrivers, handheld portable grinders, sockets and pliers. Meanwhile, the use of numerous power tools within the automotive industry is driving the overall demand. Over 55 types of power tools are used in car production, including torque wrenches, impact drivers, and air compressors.
While the growth of the power tools market is promising, the report notes that fluctuating prices of raw materials, including steel, aluminum and batteries, can disrupt the market. Raw material costs have declined significantly due to COVID-19, but as demand surges and supply decreases, prices have increased dramatically. Moreover, the prices of cordless power tools are likely to be affected by increasing lithium prices, which can hamper the overall growth of the market.
Overall, the Ken Research study suggests that the power tools market has significant potential for growth, driven by increasing demand from construction, manufacturing, and automotive industries. However, disruptions to supply chains and fluctuating raw material costs remain key challenges for the industry to overcome.
