Hand Tools and Accessories Market

Hand Tools and Accessories Market Outlook (2023-2033)

Worldwide sales of hand tools and accessories are expected to expand at a CAGR of 3.8% from 2023 to 2033. Currently, the global hand tools and accessories market is valued at US$ 20 billion and is anticipated to reach a market size of US$ 29 billion by 2033.

Hand tools are a set of essential, manually operated power equipment and gadgets that are not powered by electricity, motors, or other sources of energy. Widely used hand tools include hammers, cable cutters, wrenches, screwdrivers, and pliers, which are often made using heat and forging treatment processes.

These tools help shape the product into the desired form by focusing on mechanical strength and performing manual operations such as filing, forging, sawing, and cutting. Moreover, hand tools are compact, lightweight, and inexpensive, which makes them popular in a variety of industries.

The COVID-19 outbreak had a significant impact on the sales of hand tools and accessories. The global hand tools market was considerably affected by a reduction in sales as a result of several constraints. However, the growing popularity of do-it-yourself (DIY) interior design and home decorating among customers in both developed and emerging countries had a beneficial impact on the market.

Consumer preferences are changing as a result of technological solutions such as voice assistants and smart homes. Furthermore, the abundance of information available on the internet about nearly anything is fueling the trend of do-it-yourself (DIY), in which people solve problems independently without the assistance of an expert.

Do-it-yourself includes construction, repair, and maintenance spanning from changing the tires of vehicles to home renovation. This is driving up demand for hand tools and accessories like screwdrivers and hammers.

The COVID-19 pandemic intensified the trend of do-it-yourself (DIY) due to stay-at-home instructions. As a result, the use of home improvement tools, accessories, and equipment increased, contributing to the market for hand tools and accessories.

Moreover, market players are investing time and money in the acquisition and installation of sophisticated machinery to develop and improve production facilities to make more durable, precise, and multi-featured tools.

Demand for multi-featured tools is escalating. Hence, market players are currently working on providing multi-featured tools that can be utilized for multiple applications across multiple sectors Furthermore, the companies are also seeking government assistance through their national governments to waive higher import tariffs and subsidiaries and reduce stamp duty to acquire land to develop a sustainable manufacturing ecosystem.

Report Attributes	Details
Market Size (2023)	US$ 20 Billion
Projected Market Value (2033)	US$ 29 Billion
Global Market Growth Rate (2023-2033)	3.8% CAGR
Asia Pacific Market Growth Rate (2023-2033)	3.5% CAGR
U.S. Market Value (2021)	US$ 4.7 Billion
Key Companies Profiled	Apex Tool Group Klein Tools Inc Channellock Inc Greenlee Techtronic Industries Co. Ltd Gray Tools Canada Inc Ideal Industries, Inc Ningbo Great Wall Precision Industrial Co., Ltd Irwin Tools Emerson Electric Co, J.K. Files (India) Limited Kennametal Inc Stanley Black & Decker Leatherman Tool Group, Inc Pilana Tools Group Snap-On Incorporated Milwaukee Electric Tool Corporation Wera Tools

Which Factors are Fueling Demand for Hand Tools and Accessories?

“Increasing Commercial & Residential Construction Projects”

Demand for infrastructural development is increasing significantly as a result of rapid urbanization. Governments from all major countries are making efforts toward infrastructure development and making required expenditures to facilitate such advancements. These infrastructure development initiatives involve the construction of railways, roads, energy, airports, utilities, and residential and commercial structures.

Countries like China, the United States, India, and Japan are extensively investing in construction projects. With more projects and constantly evolving demands from the construction and other infrastructure industries, the demand for hand tools is rising. Moreover, hand tool makers are concentrating on improving their products to meet the current and changing market expectations.

“Strong Usage in Automotive Industry”

Increased usage of hand tools in the automotive sector for vehicle maintenance and repair is boosting market growth. Wrenches and other hand tools are commonly used to remove components from used and trashed vehicles for reuse and recycling.

Since vehicle maintenance necessitates the use of tools in confined spaces, hand tools are becoming more popular due to their convenience and portability. Furthermore, the increasing development of hand tools that are specifically designed for automotive repair and maintenance is expected to bolster the market growth for hand tools and accessories during the forecast period.

What Can Restrict the Demand Growth for Hand Tools and Accessories?

“Rise in Safety Risks and Concerns”

Hand tools include some heavy-weight, sharp-edged, potentially dangerous equipment that are commonly used in fitting, drilling, shaping, cutting, and repairing tasks. The use of such tools can endanger human safety owing to inappropriate usage or handling. These catastrophes are frequently the consequence of a lack of experience, professionalism, or knowledge, and therefore such tools should be handled with proper instruction and precautions.

Also, essential precautions should be followed while carrying them, and they should be carried in holsters, sheaths, or dedicated toolboxes. Furthermore, with the increased use of hand tools for home DIY applications by households, the safety hazards are rising due to insufficient knowledge about usage.

“Increasing Preference for Power Tools over Hand Tools”

Power tools' ability to repeat the same work with great accuracy and precision makes them more practical and cost-effective for use in mass production. Power tools that can conduct similar and consistent tasks over a lengthy period can also restrict sales of hand tools during the projected period.

Moreover, the use of power tools reduces downtime, also known as rest time, caused by the operator's muscle weariness, allowing the operators to finish the operation with excellent quality in a much shorter period.

Country-wise Insights

Which Countries are Driving Market Growth in Asia Pacific?

The demand for hand tools and accessories in Asia Pacific is expected to progress at a CAGR of 3.5% during the forecast period. Asia Pacific is projected to dominate the worldwide market. This is due to the rapidly growing population, fast urbanization, and increased consumer buying power.

Moreover, Japan and South Korea are aiding the market growth in Asia Pacific due to the high demand for industrial and professional tools. Moreover, the increasing adoption of DIY methods is boosting the sales of hand tools and accessories in these countries.

Why is Germany Leading the European Market?

The sales of hand tools and accessories are growing in Europe. This is owing to increased construction investment as well as rapid automobile and infrastructure development in the region.

Germany is the market leader in Europe. The country is expected to generate about one-third of all passenger automobiles in the region by 2023 due to the presence of prominent automotive firms.

Moreover, the use of hand tools and portable tools in Germany is predicted to expand over the projection period due to the country's high concentration of automotive manufacturers and significant exports of German-made automobiles to Asian and Eastern European nations.

What Makes the United States the Largest Market for Hand Tools and Accessories in North America?

Demand for hand tools and accessories is increasing in North America. Rising household repairs and home upgrades in the region and a strong DIYer population are driving up demand for hand tools and accessories.

The United States is the largest market in North America. The United States garnered US$ 4.7 billion in 2021. The expanding construction and automotive industry in the United States are increasing the demand for hand tools and accessories.

Category-wise Insights

Why Do Customers Prefer Online Platforms for Their Purchases?

Customers nowadays choose to purchase hand tools and accessories through e-commerce websites instead of visiting hardware stores, retail stores, or specialty stores. Customers are drawn to online channels by the variety of deals and special discounts accessible on these e-commerce websites. Moreover, online platforms offer consumers a diverse choice of product brands and special feature products designed specifically for a certain purpose.

Competitive Landscape

Key manufacturers of hand tools and accessories are working on producing advanced products and aiming for technological excellence to accelerate their growth possibilities in the worldwide market. The companies are also pursuing strategic mergers and acquisitions to expand their sales footprints outside their regional or domestic markets. Global players frequently strive to acquire smaller firms that are performing well in various regional marketplaces.

Moreover, many start-ups are focusing on pocket and utility knives due to their vast range of applications. Pocket knives that are efficient, small, and lightweight are in high demand.

• Great Star USA, a leader in the market of hand-operated tools catering to professional home usage (do it yourself) and industrial applications, acquired SK Professional Tools in March 2021. With the acquisition, the company hopes to enhance its manufacturing in the United States while also expanding its distribution and sales channels.
• Klein Tools, Inc. introduced the Fallen Lineman Tribute Knife in March 2021, a limited-edition knife commemorating the lives of fallen electrical line workers.
• Klein Tools, Inc. released the Klein-Kurve Wire Stripper/Cutter in February 2021; a sturdy stamped wire stripper featuring shear blades and six stripping holes for cutting, as well as a comfortable grip and an upgraded lock.

Key Segments of Hand Tools and Accessories Industry Research

• By Product Type :

  • Wrenches
  • Pliers
  • Screw Drivers
  • Hammers
  • Cable Cutters
  • Others

• By Sales Channel :

  • Online
  • Offline

• By End User :

  • DIY
  • Commercial
  • Industrial

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA