Power Tools Market by Product (Drilling and Fastening Tools, Demolition Tools, Sawing and Cutting Tools, Material Removal Tools, Routing Tools), Mode of Operation (Electric, Pneumatic), Application and Region – Global Forecast to 2027
Updated on : January 31, 2023
[232 Pages Report] The global power tools market size is projected to reach USD 65.5 billion by 2027, growing at a CAGR of 8.9% during forecast. Power tools are highly adopted by industries such as construction, aerospace, automotive, shipbuilding, and energy. Homeowners also utilize them for various residential applications.
Power tools manufacturers design, manufacture, and sell a wide variety of power tools in the market that are made of the highest quality materials. Growing construction activities in emerging economies, high demand for power tools in the automotive industry, and the rising adoption of battery power tools globally are driving the power tools market.
Power Tools Market Forecast to 2028
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Power Tools Market Dynamics
DRIVER: Growing construction industry in emerging economies
Rising construction activities across the world result in the growth of the construction industry. Factors such as the rising population in both developed and developing countries, rapid urbanization, and the increasing number of residential and commercial construction projects are fueling the need for advanced infrastructural development.
Infrastructural development projects include projects dealing with the development of roads, railways, airports, energy, utilities, and commercial and residential buildings. A wide range of power tools such as cordless drills, demolition jackhammers, circular saws, jigsaws, and reciprocation saws are widely used at construction sites, as it requires specialized and powerful tools for drilling, demolition of stones or concrete bricks, cutting wooden pieces, fastening screws, which can be used for both industrial and residential construction projects.
RESTRAINT: Fluctuations in raw material prices
The manufacturing of power tools requires resin and ferrous and non-ferrous metals such as steel, zinc, copper, brass, aluminum, and nickel. These tools also require other components such as batteries, motors, brushes, belts, power cords, and other electronic components.
The rising variation in the cost of materials, component parts, or finished goods could result in manufacturing interruptions, delays, inefficiencies, or an inability to market products. The highly varying raw material costs also lead to ineffective price management and fluctuations in profit margins. These instabilities in raw material prices also result in the increased price of power tools and affect the sales of power tools, thereby restraining the growth of the power tools market.
OPPORTUNITY: Growing demand for power tools for household applications
Consumers prefer manual working or hand tools in residential applications such as repairing furniture, fittings, or cutting in plumbing and electrification and residential construction projects. The residential applications carried out by the households themselves are known as Do-it-yourself (DIY) applications. However, using hand tools requires much energy and is time-consuming.
Power tools are gaining traction among residential users to repair furniture and remodel and refurbish existing homes. These tools are efficient, quick, and easy to cut, drill, and fasten. These tools help easily complete time-consuming residential construction and repair tasks without causing any disruptions. Electric cordless power tools are highly adopted by residential users owing to the rising demand for flexible, portable, and compact tools. These household power tools include hammer, cordless drills, jigsaws, sanders, cutters, electric screwdrivers, etc.
CHALLENGE: Designing ergonomic and lightweight power tools
Currently, power tool manufacturing companies are facing the challenge of designing tools to fit operators’ needs. Misuse of electrically powered portable tools can cause many fatal and painful injuries. Presently, customers are looking for tools that offer desired performance, along with a conformable ergonomic design. Ergonomically designed tools reduce fatigue and physical stress and increase user performance.
Such tools also prevent and reduce the health problems associated with or caused by using specific power tools. Ergonomically designed power tools provide better comfort and control to the operator, allowing the work to be completed with ease and less fatigue. Besides, features such as vibration reduction and non-slip grips, balancing tools for heavier machines, lightweight housings, and extra handles help enhance user comfort and efficiency while using the power tools. With the development of cordless tools, the addition of battery elements in power tools has increased the tool's weight. Therefore, the ergonomic and lightweight design of the tool is an important concern for tool manufacturers. To overcome these design-related challenges, manufacturers need to focus more on the ergonomic design and comfort of a user than on the capacity and battery run time of a power tool.
Power Tools Market Size Segment Overview
Material Removal Power Tools is projected to witness the higher growth during forecast period
Material removal tools to grow at higher CAGR during the forecast period. These tools are end-effectors used for removing unwanted materials from the workpieces in order to produce the desired shape.
Various material removal tools used in industrial and residential applications include sanders/polishers/buffers, air scalers, and grinders. These tools are ergonomically designed for the comfort and safety of the users. Either electric or pneumatic power sources power these tools. Cordless electric material removal tools are highly adopted for various industrial applications which are responsible for segmental growth.
Electric power tools held largest share of power tools market in 2021
The most widely used electric power tools are power saws, electric planes, electric milling cutters, electric mortising machines, electric wrenches, power grinders, electric drills, and portable parquet finishers. Corded electric tools are plug-and-play tools, whereas cordless tools are easy to operate, efficient, and handy. Due to their ergonomic advantages, end users prefer cordless tools over conventional tools. The rising demand for lightweight, portable, flexible, and compact tools, as well as the increasing DIY trend among homeowners, is boosting the adoption of electric power tools for residential/DIY applications.
Residential/DIY to be the fastest-growing segment in power tools market during forecast period
Power tools are designed for specific purposes such as drilling, fastening, material removing, cutting, and grinding, and are used for residential/DIY applications. The demand for power tools for residential applications is propelled by the availability of cordless tools, as well as the increasing popularity of the do-it-yourself (DIY) trend. Do-it-yourself (DIY) users prefer smaller and lighter power tools while making ordinary trades. Thus, there is a growing tendency to prefer small, ergonomic tools that are more powerful than traditional ones. This has led to a significant increase in demand for smaller and lighter power tools.
Asia Pacific to grow at highest CAGR during forecast period
The market in Asia Pacific is likely to grow at the highest rate during the forecast period, attributed to the increasing demand for power tools in major countries such as China and Japan. Asia Pacific is estimated to register the highest CAGR during the forecast period. One of the major factors driving the growth of the power tools market in the region is the rising road construction and infrastructure activities, especially in emerging economies such as China, India, Indonesia, the Philippines, and Vietnam. The construction industry in Asia Pacific can be seen developing at a high pace. The low-priced power tools have created intense competition among manufacturers. Techtronic Industries Co Ltd. (Hong Kong), Uryu Seisaku (Japan), and Makita Corporation (Japan) are the leading power tool manufacturers in the Asia Pacific.
Power Tools Market by Region
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Key Market Players in Power Tools Industry
The market is dominated by a few globally established players such as
- Stanley Black & Decker, Inc. (US),
- Robert Bosch GmbH (Germany),
- Techtronic Industries Co., Ltd. (Hong Kong), and
- Makita Corporation (Japan).
Power Tools Market Size Report Scope:
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Report Metric |
Details |
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Estimated Market Size |
USD 42.8 billion |
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Projected Market Size |
USD 65.5 billion |
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Growth Rate |
8.9% |
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Market Size Available for Years |
2018–2027 |
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Base Year |
2021 |
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Forecast Period |
2022–2027 |
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Units |
Value (USD Million/Billion) |
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Segments Covered |
Tool Type, Mode of Operation, and Application |
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Geographic Regions Covered |
North America, Europe, Asia Pacific, and RoW |
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Companies Covered |
Major Players: Andreas Stihl AG & CO. KG, Apex Tool Group, Atlas Copco, Robert Bosch GmbH, Hilti Corporation, Ingersoll-Rand, Makita Corporation, Snap-on Incorporated, Stanley Black & Decker, Techtronic Industries Co., Ltd., YAMABIKO Corporation, Panasonic Electric Works Europe AG, KEN Holding Co., Ltd., and Dynabrade Power Tools |
Power Tools Market Highlights
This research report segments the power tools market based on tool type, mode of operation, application, and region.
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Aspect |
Details |
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By Tool Type: |
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By Mode of Operations |
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By Application |
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By Region: |
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Recent Developments in power tools industry
- In October 2021, DEWALT, a Stanley Black & Decker brand, announced the launch of the DEWALT POWERSTACK 20V MAX* Compact Battery, a next-generation cordless power tool.
- In September 2021, Robert Bosch Power Tools GmbH announced the expansion of its comprehensive product line of woodworking and wood-cutting solutions with its 12 V and 18 V cordless sanders, the GEX12V-5 Brushless 5 In. The newly launched cordless sanders are designed for optimal balance and convenience.
- In June 2021, Snap-on Incorporated announced the launch of the CT9010 18V 3/8" Drive Brushless Cordless Impact Wrench Kit. The kit is designed for heavy applications which demand consistently high performance.
Frequently Asked Questions (FAQs):
What is the total CAGR expected to be recorded for the power tools market during 2022–2027?
The global power tools market is expected to record a CAGR of 8.9% from 2022–2027.
What are the driving factors for the power tools market?
The growing construction industry in emerging economies, the surging demand for power tools from the automotive industry, and the rising adoption of battery-powered power tools globally.
Which are the significant players operating in the power tools market?
Stanley Black & Decker, Inc. (US), Robert Bosch GmbH (Germany), Techtronic Industries Co., Ltd. (Hong Kong), and Makita Corporation (Japan) are some of the major companies operating in the power tools market.
Which region will lead the power tools market in the future?
North America is expected to lead the power tools market during the forecast period.
To speak to our analyst for a discussion on the above findings, click Speak to Analyst
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USD 42.8 billion |
The study involved four major activities in estimating the current size of the power tools market. Exhaustive secondary research was conducted to collect information on the market, peer market, and parent market. The next step was to validate these findings, assumptions, and sizing with industry experts across the value chain through primary research. Finally, both top-down and bottom-up approaches were employed to estimate the complete market size. After that, market breakdown and data triangulation methods were used to estimate the market size of segments and subsegments.
Secondary Research
In the secondary research process, various secondary sources were referred to identify and collect information relevant to this study. The secondary sources include annual reports, press releases, and investor presentations of companies; white papers, certified publications, and articles from recognized authors; directories; and databases. Secondary research was conducted mainly to obtain key information about the industry’s supply chain, value chain of the market, the total pool of key players, market classification and segmentation according to industry trends, geographic markets, and key developments from both market- and technology-oriented perspectives.
Primary Research
In the primary research process, various primary sources from both supply and demand sides were interviewed to obtain the qualitative and quantitative information relevant to this report. Primary sources from the supply side include experts such as CEOs, VPs, marketing directors, technology and innovation directors, application developers, application users, and related executives from various key companies and organizations operating in the power tools ecosystem. Following is the breakdown of primary respondents:
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
Both the top-down and bottom-up approaches were used to estimate and validate the size of the overall power tools market and the market based on segments. The research methodology used to estimate the market size was given below:
- Major players operating in the power tools market were identified and considered for the report through extensive secondary research.
- The supply chain and market size of the power tools market, both in terms of value and units, were estimated/determined through secondary and primary research processes.
- All estimations and calculations, including percentage share, revenue mix, splits, and breakdowns, were determined through the use of secondary sources, which were further verified through primary sources.
Global Power Tools market Size: Bottom-Up Approach
Data Triangulation
After arriving at the overall market size from the market size estimation process explained above, the total market was split into several segments and subsegments. To complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments, data triangulation and market breakdown procedures were employed, wherever applicable. The data was triangulated by studying various factors and trends from both the demand and supply sides. Along with this, the market was validated using both top-down and bottom-up approaches.
Report Objectives:
- To describe and forecast the power tools market, in terms of value, based on tool type, mode of operation, and application
- To forecast the market size, in terms of value, for four main regions—North America, Europe, Asia Pacific, and the Rest of World (RoW)
- To provide detailed information regarding drivers, restraints, opportunities, and challenges influencing the market growth
- To provide a detailed overview of the value chain of the Power Tools ecosystem
- To strategically analyze micro markets with respect to individual growth trends, prospects, and contributions to the total market
- To analyze the opportunities in the market for stakeholders and details of the competitive landscape of the market
- To strategically profile the key players and comprehensively analyze their market position in terms of ranking and core competencies
- To analyze the major growth strategies implemented by key market players, such as contracts, agreements, acquisitions, product launches, expansions, and partnerships
Available Customizations
Based on the given market data, MarketsandMarkets offers customizations in the reports according to the client’s specific requirements. The available customization options are as follows:
Company Information
- Detailed analysis and profiling of additional market players (up to 5)
Growth opportunities and latent adjacency in Power Tools Market
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Would the Power Tools Market be considered an oversaturated market? any information regarding this would be useful.