Forestry Equipment Industry Report 2026: Market to Surpass $14.5 Billion by 2030, Driven by Strategic Initiatives, New Product Launches, and Expansion Into Emerging Markets
Dublin, May 07, 2026 (GLOBE NEWSWIRE) -- The "Forestry Equipment Market: 2026 Edition" report has been added to ResearchAndMarkets.com's offering.
The global forestry equipment market was valued at US$11.33 billion in 2024. The market value is expected to reach US$14.51 billion by 2030. The market is expected to grow at a CAGR of approx. 4% during the forecasted period of 2025-2030.
The global forestry equipment market is fragmented in nature, with a mix of established industry leaders and emerging players. The key players are constantly investing in strategic initiatives, such as new product launch, introducing their products to emerging markets and more, to maintain a competitive edge in this market.
In the forthcoming years, the forestry equipment market is expected to continue growing due to several converging trends. One key factor is the increasing focus of industries on more efficient and sustainable forestry practices. The trend toward sustainable forest management, which includes responsible harvesting, forest regeneration, and minimizing environmental impact, has driven the need for specialized equipment that can support these practices.
Additionally, the growing bioenergy sector, which relies on wood and biomass, has also contributed to the expansion of the forestry equipment market. As renewable energy sources continue to be prioritized, the demand for equipment capable of handling biomass harvesting, wood processing, and transportation has increased. Furthermore, the integration of electric and hybrid systems in forestry equipment is expected to increase as industries move towards more eco-friendly solutions, contributing to the global market growth.
In 2024, the North America region led the forestry equipment market, propelled by a combination of factors. The region's focus on sustainable forestry practices has increased the demand for advanced machinery that improves efficiency and minimizes environmental impact. Technological innovations, such as automation and GPS integration, have further boosted operational productivity.
During 2025-2030, the US is forecasted to maintain its lead within North America. The presence of major forestry equipment manufacturers in the U.S. and Canada has strengthened the supply chain, while government policies supporting forest conservation and sustainable land management have stimulated market growth. Additionally, rising demand for timber and wood products, driven by the construction industry, along with growing forest conservation and restoration initiatives, has further propelled the region's dominance in the market.
Market Segmentation Analysis:
By Product: The report identifies five segments on the basis of product: Felling Equipment, Extracting Equipment, On-Site Processing Equipment, Other Forestry Equipment and Separately Sold Parts and Attachments.
The felling equipment segment held a significant share of the global market due to the increasing demand for timber, especially in construction and paper industries, which directly impacts the need for efficient tree-cutting equipment. Additionally, advancements in machinery that improve fuel efficiency, reduce emissions, and enhance cutting precision support growth. The trend toward sustainable forest management also plays a significant role, as modern felling equipment is designed to reduce environmental impact, such as minimizing soil disturbance and controlling tree removal to prevent over-harvesting. Technological innovations like automated and remote-controlled felling machines are expected to drive the segment forward in the coming years.
By Power Source: Based on the grade, the global forestry equipment market can be divided into two segments: Oil, Gas and Electric.
Among the power source, oil forestry equipment segment dominated the market in 2024. This market's dominance is attributed to the reliability and longevity of oil-powered machinery, characteristics that are ideal for operating in rugged and remote environments where high performance is crucial. The fuel efficiency and long operational hours between refueling are key advantages, especially in large logging operations where downtime must be minimized. As oil-powered machines become more fuel-efficient and meet evolving emissions standards, they are likely to continue to play a prominent role in high-capacity forestry tasks, supporting continued demand in the segment.
Competitive Landscape:
In February 2024, John Deere introduced the 950 P-Tier and 1050 P-Tier large dozer models, which boast advanced visibility and safety features as part of the transition to P-Tier. In addition, both the 950 P-Tier and 1050 P-Tier offer enhanced visibility and improved safety features, positioning them as an ideal solution for operators aiming to boost productivity and protection on the jobsite. Similarly, in June 2023, Volvo CE announced the launch of a new Compact Business Unit in order to maximize the opportunities in the growing compact equipment segment. The new Compact Business Unit was responsible for compact excavators up to 9 tons and compact wheel loaders up to the L50 model.
Market Dynamics
Growth Drivers
Challenges
Market Trends
Company Profiles
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