Forestry Equipment Market Analysis, Size, Market Demand, Growth, and Comprehensive Research Study 2029

The Global Forestry Equipment Market size reached USD 10.20 Bn in 2022 and is expected to reach USD 14.54 Bn by 2029, growing at a CAGR of 5.2 % during the forecast period.

Forestry operational productivity has increased dramatically over the decade's thanks to several phases of technological advancement in Forestry Equipment. Forestry equipment is designed to perform specific tasks related to forestry operations. The forestry industry needs effective management and harvesting processes to achieve both environmental and production goals. Different types of forestry equipment are available in the market and each of them is designed for a specific task. The increasing demand for wood for construction and infrastructure activity is expected to drive the Forestry Equipment Market during the forecast period.

The US, Canada, and Western Europe are the largest producers of forestry equipment, accounting for one-third of global product demand in 2023 due to their advanced manufacturing sectors supported by a healthy capital spending environment. Forestry Equipment Market Manufacturers operating in these regions are investing heavily in technological innovation.

Many market key players are manufacturing autonomous vehicles for forestry as they provide benefits, such as increased productivity, elimination of the machine operator bottleneck, reduced cost, and support for environmental aspects. Japanese Forestry Equipment maker Komatsu generate 140 billion yen ($1.27 billion) in revenue from forest machinery, which would mark a 42% increase, because of the robust housing and material demand. Komatsu has also recently released a new range of forestry equipment. The new range includes a variety of bulldozers, skidders, forwarders, and feller bunchers that are designed to maximize production and reduce overall costs.
Forestry Equipment Market Trends:
Increased automation in forestry operations

The use of automation in forestry operations is growing in recent years because it helps to improve efficiency and safety. For example, automated harvesters can fell trees, delimb them, and cut them into logs without the need for human intervention. To meet the rising demand for its market-leading range of forestry equipment, Many Forestry Equipment Market key players are aiming to boost production efficiency by expanding their manufacturing facilities. By automating workpiece set-up using Renishaw machine tool probing systems and software, the company achieved a 75% reduction in set-up times and a 40% in- crease in the available time. A manufacturer of premium quality forestry equipment, Tigercat provides the lowest cost per tonne timber harvesting solutions. From its base in Ontario, Canada, the company exports its products to busy logging operations throughout the world.

Growing demand for sustainable forestry practices

The demand for sustainable forestry practices is growing in recent years because people become more aware of the environmental impact related to the forest sector. This is leading to the development of new forestry equipment that is designed to be more environmentally friendly. The use of Low-emission engines, Efficient fuel use, and Regenerative forestry practices are some of the new technologies which are used in the manufacturing of Forestry Equipment. Low-emission engines emit fewer pollutants than traditional engines, which can help to reduce air pollution. John Deere a leader in forestry equipment has developed developed low-emission engines for their forestry machines. In 2022, John Deere's revenue was $52.58 billion. Their forestry equipment segment accounted for about $12 billion of this revenue.


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Forestry Equipment Market Dynamics:
The growing Construction Sector to Boost the Growth of Forestry Equipment Market

The construction industry grew to a spending value of close to 12 trillion U.S. dollars in 2022 and is expected to grow by three percent per annum. The United States has one of the largest construction industries in the world. The construction industry is a major consumer of forestry-based products and it is expected to continue to grow during the forecast period because of the increasing demand for timber and wood-based products, as well as the growing need for infrastructure development. In 2020, over 58 percent of housing construction starts in the U.S. were wooden structure buildings. The transition of forestry operations from manual work to the automated mode of functioning in forests is likely to drive the demand for forestry equipment during the forecast period.

Leading market players in the sector are changing the landscape of the market by developing forestry machines equipped with telematics and GPS systems for real-time tracking and monitoring of machinery, which enhances efficiency. The demand for wooden slabs and pillars also increased, which is expected to drive the demand for the forestry equipment market during the forecast period. Manufacturers are focusing on developing forestry equipment, which reduces the effects on soil and fuel efficiency. This, in turn, is expected to boost the market growth for forestry equipment.



The high focus of OEMs on new product launches to drive the Forestry Equipment Market

OEMs are understanding the types of forestry operations that their customers perform, the challenges they face, and the technologies that they are using when launching new forestry equipment products. The global forestry sector has been negatively impacted by the COVID-19 pandemic, which produced a reduction in output, declining equipment spending, and severe disruptions to global supply chains. After COVID 10 pandemic, 2021 has brought greater stability and a partial return to normal for both the global forestry sector and forestry equipment industry as many countries got a better handle on the pandemic.

In light of strengthening Forestry Equipment market conditions around the world, a number of the leading forestry equipment manufacturers launched important models or new product lines during the first half of 2021, shedding light on the capabilities of the next generation of machines, while others unveiled major initiatives. Deere announced its major Precision Forestry initiative – which realigns the company’s technology offerings and streamlines its product portfolio in order to better serve the forestry sector in February 2021. The Precision Forestry initiative is part of the company’s broader commitment to technological innovation and the development of smart, connected machines.

The increasing demand for wood and wood products drives the Forestry Equipment Market.

The wood products manufacturing industry comprises establishments engaged in the manufacturing of products derived from wood. This industry includes companies manufacturing lumber, plywood, veneers, wood containers, wood flooring, wood trusses, manufactured homes, and prefabricated wood buildings. The production of wood and wood-related products has long been a vital component of the world economy. Wood is an essential resource that has uses in numerous industries, from furniture to paper goods. Entrepreneurs have the chance to create successful enterprises with a high demand for products through the production of wood and wood products.

The increase in customer awareness of the advantages of eco-friendly and sustainable products is another factor contributing to the expansion of products. Making furniture is one of the most well-liked business ventures in the wood products sector. Both residential and commercial structures frequently use wood flooring. Solid hardwood flooring, engineered hardwood flooring, and laminate flooring are just a few of the several varieties of wood flooring that may be produced by business owners. Thus, the increasing demand for wood and wood products due to a number of factors, including the growth of the construction industry, and the demand for paper and packaging drives the Forestry Equipment Market during the forecast period.
Market Restraint
High maintenance costs and Competition from emerging markets hamper the Forestry Equipment Market growth

The high maintenance costs of forestry equipment are attributed to a number of factors such as the complexity of the machinery, the harsh operating conditions in which it is often used, and the need for regular servicing and repairs. These costs act as a significant burden for forestry Equipment companies, especially those that operate in remote areas. The forestry equipment market is becoming increasingly competitive, as new entrants from emerging markets such as China and India are entering the market. These companies are able to offer forestry equipment at lower prices, which is putting pressure on established players in the market. The lower prices in this region are due to the lower labor costs, the availability of government subsidies, and the increased focus on research and development.
Forestry Equipment Market Segment Analysis:
Based on the Type, the felling equipment held over 35% of the forestry equipment market revenue share in 2022, with around 2.4 million new units sold. Felling equipment includes market revenues from the sales of chainsaws, harvesters, and feller bunchers. The increasing trend of commercial forestry is expected to boost the felling equipment demand. This type of forestry equipment is being increasingly used for felling, delimbing, harvesting, processing, and bucking trees.

Harvesters are witnessing a high demand through 2029 on account of their benefits such as high productivity and efficiency. The increasing demand for automated equipment integrated with artificial intelligence and control systems is driving the growth of the harvesters segment during the forecast period. For instance, in August 2020, Komatsu launched the 901XC 8WD harvester to tackle rough and steep terrains. The 901XC harvester includes a 3PS hydraulic system, four-way cab/crane leveling, and an enhanced ergonomic cab with 180-degree crane rotation. The increasing focus of equipment manufacturers including Eco Log, Tigercat International, Komatsu Forest, and others on R&D and innovation is expected to increase the forestry equipment market demand during the forecast period.


Forestry Equipment Market Regional Insights
The North American region is the fastest-growing region across the globe in the Forestry Equipment market. The U.S. dominates the North American forestry equipment market as it is the largest manufacturer and service provider of forestry equipment and heavy research and development investments are taking place in the country. Furthermore, the emergence of online retail facilities, the availability of forestry equipment on a rental basis, and rising government investments in infrastructure development are also expected to drive the Forestry Equipment Market demand in this region. The region is a major original forestry equipment manufacturer base for forestry equipment tire and is expected to be one of the major consumers of OEM forestry equipment tyre at a global level because of the growth in construction, manufacturing and energy sectors.

John Deere is a well-known name in American equipment and manufactures machines for agriculture, construction, landscaping, and forestry. John Deere's forestry equipment line includes more than those featured by Brandt, including knuckle-boom loaders, wheeled loaders, swing machines, and forestry heads and attachments. Many of these machines are available in either tracked or wheeled versions. They also offer TimberOffice, a fleet management software designed specifically for forestry fleets.
Report Scope:
The report provides a quantitative analysis of the current Forestry Equipment market drivers, restraints, trends, estimations, and opportunities of the market to identify the prevailing opportunities in the market during the forecast period. PORTER's five forces analysis shows the ability of buyers and suppliers to make profit-oriented strategic decisions and build their supplier-buyer network. In-depth analysis as well as the market size and segmentation assist in determining the current Forestry Equipment market potential. Some factors that are supposed to affect the business positively or negatively have been analyzed in this report which will give a clear futuristic view of the industry to the decision-makers.

The report presents a comprehensive analysis of the global Forestry Equipment market to the stakeholders who want to invest in this market. The report includes past and current scenarios of the market with the forecasted market size. report covers all the aspects of the market with a thorough study of key players that include market leaders, followers, and new entrants.

report contains strategic profiling of top key players in the market, a wide-ranging analysis of their core competencies, and their strategies like new product launches, growths, agreements, joint ventures, partnerships, and acquisitions that apply to the businesses. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the internal or local market make the report investor’s guide. They are continuously strategizing on mergers & acquisitions for the expansion of their market share and growth opportunities during the forecast period.
Forestry Equipment Market Report Scope: Inquire before buying



Forestry Equipment Market


Report Coverage
Details


Base Year:
2022
Forecast Period:
2023-2029


Historical Data:
2017 to 2022
Market Size in 2022:
US $ 10.20 Bn.


Forecast Period 2023 to 2029 CAGR:
5.2 %
Market Size in 2029:
US $ 14.54 Bn.


 Segments Covered:
by Type
Felling Equipment
  Chainsaw
  Harvester
  Feller Buncher
Extracting Equipment
   Forwarder
   Skidder
On-site Processing Equipment
  Chipper
   Delimber
Others
   Loader
   Mulcher


by Power
Oil
Gas
Electric



Forestry Equipment Market, by Region
North America (United States, Canada, Mexico)
Europe (United Kingdom, UK, France, Germany, Italy, Spain, Sweden, Austria, Rest of Europe )
Asia Pacific
Middle East and Africa
South America
Forestry Equipment Market Key Players
1. John Deere (U.S.)
2. Caterpillar (U.S.)
3. Deere & Company (U.S.)
4. Komatsu Forest (Sweden)
5. Ponsse Oyj (Finland)
6. Tigercat International Inc. (Canada)
7. Husqvarna AB (Sweden)
8. Doosan Corporation (South Korea)
9. CNH Industrial N.V. (U.K.)
10. AB Volvo (Sweden)
11. Hitachi Construction Machinery Co., Ltd (Japan)
12. Morbark Brand (U.S.)
13. Barko Hydraulics, LLC (U.S.)
14. BELL Equipment (South Africa)
15. Eco Log Sweden)
16. Logset Oy (Finland)
17. Sampo-Rosenlew Oy (Finland)
18. TimberPro Inc (U.S.)
19. SANY Group (China)
20. FAE Group S.p.A. (Italy)
21. Morooka Co., Ltd. (Japan)

FAQs:

1. Who are the key players in the Forestry Equipment market?
Ans. John Deere, Komatsu Ltd., Volvo CE, and Hitachi Construction Machinery Co. Ltd. are the major companies operating in AI in Robotics Market. These are some of the market players in the Forestry Equipment market.

2. Which Type segment dominates the Forestry Equipment market?
Ans. The Felling Equipment segment accounted for the largest share of the global Forestry Equipment market in 2021.

3. How big is the Forestry Equipment market?
Ans. The Global Forestry Equipment market size reached USD 10.20 Bn in 2022 and is expected to reach USD 14.54 Bn by 2029, growing at a CAGR of 5.2 % during the forecast period.

4. What are the key regions in the global Forestry Equipment market?
Ans. Based On the region, the Forestry Equipment Market has been classified into North America, Europe, Asia Pacific, the Middle, East and Africa, and Latin America. Asia Pacific dominates the global Forestry Equipment market.

5. What is the study period of this market?
Ans. The Global Forestry Equipment Market is studied from 2021 to 2029.