Canada Forklift Market Overview, 2030

Forklifts first made their mark in Canada during the postwar industrial boom, when manufacturers and logistics firms needed a safer, more efficient alternative to manual material handling. Early adoption was driven by the sheer scale of Canadian operations and the need to move goods rapidly in large warehouses, ports, and rail yards, particularly in Ontario and Quebec, which remain the largest regional markets. Before forklifts, the movement of heavy goods relied on manpower and basic carts, limiting productivity and increasing workplace injuries. The introduction of internal combustion engine forklifts addressed these pain points, but as environmental regulations tightened and sustainability became a priority, electric forklifts gained traction especially in indoor environments and cold storage, where emissions and air quality are critical. Technically, a forklift is a powered vehicle with forks or attachments for lifting and transporting loads; in Canada, they are indispensable for moving lumber, packaged goods, and industrial equipment across warehouses, construction sites, and distribution hubs. Their effectiveness lies in reducing labor costs, improving safety, and enabling just-in-time logistics, which is crucial given Canada’s vast geography and reliance on multi-modal transport. Canadian companies have invested in advanced technologies like lithium-ion batteries, telematics, and automated guided vehicles (AGVs), spurred by both government incentives and the need to comply with stringent federal and provincial emission standards. Despite these advances, the market faces challenges such as high capital costs for new electric models, a shortage of skilled operators, and the need for robust equipment that can withstand Canada’s extreme weather and diverse terrain.

According to the research report ""Canada Forklift Market Overview, 2030,"" published by Bonafide Research, the Canada Forklift market was valued at more than USD 1.65 Billion in 2025. Canada’s forklift market is propelled by several key drivers, including the rapid expansion of e-commerce, modernization of logistics infrastructure, and a strong push for environmental sustainability. The warehousing and logistics sector leads demand, as companies race to keep pace with consumer expectations for fast, reliable delivery and the shift to automated, high-density storage solutions. Recent developments include the widespread adoption of electric forklifts, which made up over 73% of new sales in 2024, reflecting both regulatory pressures and corporate sustainability goals. Federal and provincial authorities have implemented strict emissions regulations, encouraging businesses to transition away from diesel and LPG models in favor of electric alternatives. Major players in the Canadian market include global brands like Toyota, Crown, and Raymond, as well as local manufacturers who cater to the unique demands of Canadian industries, such as ruggedness for outdoor use and adaptability for cold environments. The market offers significant opportunities in automation and digitalization, with companies investing in AGVs, IoT-enabled fleet management, and telematics to optimize operations and reduce downtime. Compliance with Canadian safety and environmental standards, including those set by the Canadian Standards Association (CSA) and provincial ministries, is essential; these frameworks protect workers, minimize environmental impact, and ensure interoperability across the supply chain. Trends shaping the market include the rise of battery-powered forklifts, the integration of fleet management software, and the growing use of rental and leasing models, which allow companies to scale capacity flexibly and manage costs in a competitive landscape. These trends reflect a broader shift toward sustainable, data-driven, and resilient material handling operations in Canada.

Electric forklifts have become the backbone of Canada’s modern warehouses and distribution centers, driven by both regulatory mandates and the operational advantages they offer in cold, enclosed, and urban environments. The segment’s rapid growth now accounting for nearly three-quarters of the market can be traced to the country’s ambitious climate goals and the expansion of charging infrastructure supported by government initiatives. Electric forklifts are favored for their zero emissions, low noise, and minimal maintenance, making them ideal for food processing, pharmaceuticals, and retail distribution, where air quality and hygiene are paramount. Lithium-ion battery technology has further accelerated adoption, offering faster charging, longer run times, and reliable performance in subzero temperatures, a critical advantage for Canadian businesses operating year-round. The integration of telematics and IoT allows operators to monitor battery health, track usage, and schedule maintenance proactively, reducing downtime and optimizing fleet utilization. As Canadian companies seek to reduce their carbon footprint and align with ESG commitments, electric forklifts are increasingly seen as a strategic investment. Manufacturers are responding by expanding their electric lineups, offering models tailored for narrow aisles, high stacking, and specialized applications such as cold storage or hazardous materials handling. The segment’s growth is also supported by flexible financing and leasing options, which lower the barrier to entry for small and medium-sized enterprises. With ongoing advancements in battery technology and automation, electric forklifts are set to remain at the forefront of Canada’s material handling industry, supporting the country’s transition to a greener, more efficient supply chain.

Internal combustion engine forklifts, while gradually ceding ground to electric models, remain essential in Canada’s heavy industries, outdoor logistics, and remote operations where ruggedness, high lifting capacity, and fuel flexibility are paramount. These forklifts are the workhorses of construction sites, lumber yards, mining operations, and large-scale manufacturing plants, where long operating hours and challenging conditions demand robust equipment. Diesel and LPG forklifts are particularly valued in Western Canada and the resource-rich provinces, where infrastructure can be sparse and access to charging stations is limited. Despite their strengths, ICE forklifts face increasing scrutiny due to emissions regulations and rising fuel costs, prompting manufacturers to invest in cleaner engines and hybrid technologies. The segment is also adapting to the Canadian climate, with features like engine block heaters, cold-weather hydraulic fluids, and reinforced frames to ensure reliability in winter conditions. While the market share of ICE forklifts is expected to decline as electrification accelerates, they remain indispensable for applications that require outdoor mobility, heavy lifting, or continuous operation in areas where electric models may not be practical. The transition to greener alternatives is expected to be gradual, with ICE forklifts continuing to play a vital role in Canada’s industrial and resource sectors for the foreseeable future.

Warehousing and logistics stand as the largest and most dynamic application segment for forklifts in Canada, underpinned by the country’s booming e-commerce sector, the rise of automated distribution centers, and the ongoing modernization of supply chains. Forklifts are the backbone of operations in major logistics hubs, enabling rapid pallet movement, just-in-time inventory management, and efficient loading and unloading of goods across vast distances. The adoption of advanced technologies such as AGVs, robotics, and smart warehouse management systems has transformed how forklifts are deployed, allowing for higher throughput, greater accuracy, and improved safety. In addition to warehousing, sectors like retail, wholesale, and transportation rely heavily on forklifts to maintain service levels and adapt to seasonal demand fluctuations. The construction industry, though smaller in forklift demand, benefits from specialized models designed for rough terrain and outdoor use, while manufacturing facilities use forklifts for in-plant logistics and assembly line support. As Canadian businesses continue to invest in digital transformation and sustainability, the demand for advanced, eco-friendly, and connected forklift solutions is expected to grow, reinforcing the forklift’s role as a critical enabler of Canada’s resilient and future-ready supply chain.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Salt Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Electric Forklifts
• Internal Combustion Engine
• Other

By Class
• Class I
• Class II
• Class III
• Class IV/V

By Application
• Warehousing & Logistics
• Manufacturing
• Construction
• Others Show more