Hand Tools Market Size and Share Analysis by Type (General-Purpose Tools, Cutting Tools, Layout & Measuring Tools, Taps & Dies), End User (Industrial, Commercial, Residential), Distribution Channel (Online, Retail/Offline) - Industry Growth and Demand Forecast to 2030

Market Overview

The global hand tools market size was valued at $21,854.1 million in 2021, and it is expected to reach $31,884.1 million by 2030, advancing at a CAGR of 4.3% during 2021–2030. Factors attributed to this growth include the growing construction, shipbuilding, automotive, and manufacturing sectors. Further, the surging use of hand tools in aerospace and DIY sectors for a variety of applications, including drilling, hammering, and sawing, among others, is also driving the market.

Increasing Woodwork and DIY Activities Are a Key Trend

Increasing DIY and woodwork activities, owing to the unavailability of skilled labor and high labor cost, are a key trend in the market. Individuals prefer this cost-effective approach for home improvement, decoration of interiors, and furniture projects. This method allows them to spend more on quality raw materials by saving labor costs. Further, changing consumer lifestyles, rising creative and fun activities, and the availability of resources, such as video tutorials, DIY guides, and how-to articles, are supporting people to do these activities.

Moreover, the surging global demand for wood products is one of the reasons for the growth in the market. People today are demanding more wood-based products for their homes and offices. With the rise in the usage of eco-friendly materials in the building & construction sector, the need for wood furniture has increased significantly, worldwide. Further, global warming and climate change are the reasons for the shift in customer preference toward eco-friendly products. Also, major countries like the U.S., Japan, and China are witnessing an increase in demand for wood products, due to their economic and environmental benefits.

General-Purpose Tools Capture the Majority Revenue Share

Because of their versatility, general-purpose tools are the most commonly used hand tools across the world. Furthermore, these tools are simple to use and require no special skills to operate. Due to these factors, the category accounted for the largest market share, of 66.6%, in 2021.

Whereas, the cutting tools category is expected to grow at the highest CAGR, of 4.6%, between 2021 to 2030. These tools, including saws, chisel & files, knives & blades, and cable & wire cutting tools, are used in a variety of end-use industries, such as construction, automotive, aerospace, and electronics. Furthermore, the increased use of these tools in woodworking, furniture, and DIY applications is also expected to drive the market in this category in the future.

Industrial Hand Tools Contributed Largest Revenue

Although practically every industry uses hand tools, the main end users of these products are the construction, automotive, and aerospace sectors. Thus, the growth in these industries is attributed to the increasing use of industrial hand tools. Hence, the industrial category accounts for the largest market share.

• In 2021, the construction category accounted for the largest share of the industrial market. With the expanding population and rapid urbanization, the demand for residential and commercial facilities is increasing, which, in turn, drives the need for hand tools. Also, the rise in maintenance and construction activities has been a major driver for increasing the use of industrial hand tools, globally.
• Whereas, the aerospace category is projected to grow at the highest CAGR, of 4.6%, during 2021–2030, in the industrial market. The aerospace industry is growing, owing to the increasing demand for air travel, technological advances, surging disposable income, and rising number of space exploration projects. Thus, this factor will create high demand for inspection, maintenance, and repair of aircraft structures, which, in turn, boost the industrial hand tools market growth in this category.
• The automotive sector, on the other hand, is projected to grow significantly in the coming years, as the use of industrial hand tools in automotive repairs, modifications, and servicing is irreplaceable. Moreover, the affordability and ease of use are also propelling the use of these tools in DIY projects, garage modifications, and other personal projects.

Whereas, the residential category is expected to grow at the highest rate in the coming years in the market. This can be attributed to the increasing need for house repair, decor, and furniture repairs. As a result of trying to cut spending, owing to the rising living costs, there has been a surge in the preference of people to fix goods rather than replace them with new ones. Furthermore, how-to blogs are assisting consumers in repairing goods themselves, which, in turn, boosts the industry forward.

Driven by Large Consumer Base, APAC Holds Largest Market Share

Globally, the hand tools market is dominated by the APAC region, and this trend is likely to continue in the coming years as well. The market in the region is also projected to experience the highest growth rate during the forecast period. This is attributed to its rapidly expanding population, high rate of urbanization, and rise in consumer spending power. The regional market is also likely to advance due to the enormous demand for these tools from emerging economies and significant growth in the end-use industries of the region.

• China generated the largest revenue share, of 36.5 %, in the APAC market in 2021. This is because of the country’s enormous manufacturing, automobile, aerospace, shipbuilding, electronics, and construction sectors. Thus, the growing aforementioned industries continue to provide traction to the demand for hand tools in the country.
• Moreover, the growing end-use industries like automotive and construction in India are projected to propel the country’s market size. Additionally, the trend for DIY activities among its citizens will also drive the Indian market in the coming years.

North America accounted for 24% market share in 2021. This is majorly due to the increasing demand for hand tools in developed industries of the region. Further, the increasing household repairs and home improvements in the region, along with a large DIYer base is responsible for the growth in demand for these tools. Moreover, the surging demand for automobiles will significantly add to the market expansion. For instance:

• The U.S. auto sales increased by around 70%, from approximately 10 million in 2009 to 18 million in 2018. Furthermore, the projected sales of cars will reach around 18 million by 2025.
• Car production in North America surpassed 15 million vehicles in 2020, accounting for almost 18% of worldwide production.

Europe held the third position in revenue generation of the market in 2021. This is due to the rising investments in the construction industry and the surging automotive and infrastructural developments in the region.

• Germany held the top position in the European market in 2021. Due to the presence of major automotive players, the nation produced almost one-third of all passenger cars in the region in 2020. The use of hand tools in Germany is expected to increase throughout the projection period, due to the country's high concentration of automotive manufacturers and substantial exports of vehicles made in Germany to Asian and Eastern European nations.

Explore more about this report - Request free sample pages

Online Distribution Category To Grow Faster

The offline distribution channel offers great flexibility in choosing different products and quality assessments. Owing to this, the category holds the majority revenue share in the market. On the other hand, the online category is projected to grow at a higher CAGR during the forecast period. This can be ascribed to the surging sales hand tools through e-commerce websites.

Key Players Are Involved in Product Launches to Stay Competitive

Key players operating in the market for hand tools have been involved in product launches to strengthen their position and presence. For instance:

In June 2022, Klein Tools Inc. announced the launch of hybrid pliers with crimper, fish tape puller, and wire stripper.

In October 2021, Milwaukee Electric Tool Corporation announced the launch of CHEATER aluminum adaptable pipe wrench for plumbing and mechanical trade professionals.

Top Global Manufacturers of Hand Tools Include:

• Klein Tools Inc.
• Milwaukee Electric Tool Corporation
• Stanley Black & Decker Inc.
• Robert Bosch GmbH
• Misumi Group Inc.
• Apex Tool Group LLC
• KS Tools Werkzeuge-Maschinen GmbH
• Snap-on Tools Company LLC
• KNIPEX-Werk C. Gustav Putsch KG
• Emil Lux GmbH & Co. KG

Hand Tools Market Size Breakdown by Segment

The study offers a comprehensive market segmentation analysis along with market estimation for the period 2017-2030.

Based on Type

• General-Purpose Tools
  • Wrenches
  • Screwdrivers & nut drivers
  • Pliers
  • Hammers
  • Riveters
  • Clamps & vises
  • Wrecking bars
  • Ratchets & sockets
• Cutting Tools
  • Saws
  • Chisel & files
  • Knives & blades
  • Cable & wire cutting tools
• Layout & Measuring Tools
• Taps & Dies

Based on End User

• Industrial
  • Construction
  • Automotive
  • Aerospace
  • Electronics
  • Energy
  • Shipbuilding
• Commercial
• Residential

Based on Distribution Channel

• Online
• Retail/Offline
• .

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • France
  • Germany
  • Italy
  • Spain
  • U.K.
• Asia-Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Arabia
  • South Africa