Professional hand tool demand is projected to account for nearly three quarters of total U.S. hand tool market gains through 2024, according to analysis by The Freedonia Group. Pro hand tool demand is forecast to rise 0.6% annually to nearly $4.0 billion over the next four years.
The Cleveland-based research organization predicts professional demand growth will be restrained, though, by ongoing trends toward low-cost imports over more expensive “Made-in-USA” products. Professional gains also likely will be constrained in the near-term by declines in manufacturing, automotive, and construction activity as a result of the coronavirus (COVID-19) pandemic.
Professional sales generally dominate the hand tool market because professional end users, such as construction contractors, are typically more willing to pay a premium for higher quality tools than homeowners and tend to replace tools more frequently than typical consumers. Among professional end users, The Freedonia Group projects construction will remain the largest market, accounting for 43% of segment sales.
Full findings from The Freedonia Group’s research are available in the report, Hand Tools, available for purchase from the organization for $4,900.