Chinese imports into the United States will incur an additional 10% in tariffs imposed from this week [correct at time of publication], however, with other international markets having a strong appetite for Chinese-produced forklifts and materials handling equipment, manufacturers seem quite unfazed.

And this is despite a number of Chinese producers telling Forkliftaction News the demand by international customers is so strong, they are turning their backs on domestic markets and exporting as much as 90% of their annual production.

We spoke with representatives from four of China’s forklift manufacturers including Hangcha (the second largest forklift manufacturer in China), Ningbo Ruyi (manufacturer of the well-known Xilin brand), and two mid-size participants, UN Forklift and Maxlion, about their export aspirations and the tariffs. 

George Zhang, international general manager with Hangcha, explains that while exports make up 40% of current production, and the US is one of its destination markets, the tariffs will not have a major impact on the business.

“The proposed tariffs could impact our business, especially in terms of higher import costs,” Zhang told Forkliftaction News just days before the new tariffs were announced. “However, our flexible pricing strategy will help absorb some of the costs while maintaining competitiveness.

“Despite short-term challenges, our long-term strategy of market diversification and supply chain optimisation will help us navigate these changes.”

Jack Yang, vice president of sales with UN Forklift explains that exports account for 90% of the equipment produced by the company and that without a healthy export market, the business would be less “sustainable”.

He says the new tariffs “could impact our pricing strategy and potentially affect the competitiveness of our products in certain markets, especially the US”.

“However, we are continuously exploring ways to adapt to such changes, including looking into alternative production strategies, strengthening our local presence in key markets, and maintaining flexibility in our supply chain to mitigate the impact of tariffs,” Yang adds.

Barry Su, CEO of new entrant to the market Maxlion, concurs saying it may impact US sales volumes but that its sights are set on other markets. Maxlion produces ICE, Li-ion powered and rough terrain forklifts as well as telehandlers and sideloaders. 

Michelle Shi, head of the international department with Ningbo Ruyi, best known for its Xilin brand, also agrees tariffs may “challenge our cost structure and pricing strategy”, but insists the company is “well-positioned to turn these challenges into opportunities” as it looks to build stronger partnerships in other locations.

The thriving export market

With Chinese producers looking to increase export of their materials handling equipment and forklifts to international markets, and with the increased tariffs into the US, their sights are firmly set on other markets.

Yang from UN Forklift says without a healthy export market, the business would be less sustainable.

“As a company with over 90% of our production allocated for export, the export market is crucial to our business,” Yang says. “Our focus is primarily on international markets, and exports drive the majority of our revenue. Without a strong presence in the export market, our business would not be as sustainable or profitable.”

UN Forklift, founded in 1978 and now boasting annual production of 10,000 units, has sales and service partners in Europe, South and North America, Africa and Asia. The company currently produces 17 different types of forklifts.

“The relatively short lead times, competitive price and improved quality of Chinese forklifts has made them increasingly accepted in international markets,” Yang adds. “Moreover, China’s increasing focus on advanced technologies such as lithium batteries further enhances the appeal of our products globally.”

Exports are critical to UN Forklift’s operations and increased in volume by 30% in 2024 compared to the previous year.

“Continuous innovation and the introduction of new products have allowed us to capture a larger share of the market,” Yang continues. “This, combined with the growing demand for high-quality and cost-effective forklifts, has contributed significantly to the increase in our export volumes.”

Maxlion, which holds 60 patents for materials handling equipment, has big growth ambitions and has started construction on a 20,000 sqm, USD16.7 million manufacturing facility designed to produce 8,000 units of new energy and special forklifts annually. Production at the site is slated to begin in May 2025.

CEO Barry Su explains Maxlion exports to more than 40 countries including the US, Canada, Brazil, Germany, Spain, Turkey, Australia, New Zealand, Korea and Malaysia with both the volume and destination of exports continuing to grow. 

Hangcha’s George Zhang explains 40% of its production is currently bound for the export market with exports in 2024 reaching 100,000 units; double digit growth from the previous year.

“Ultimately, a strong export market ensures the long-term sustainability and growth of our business,” Zhang adds.

To this end, Hangcha is finding receptive markets in “emerging economies” with new partnerships expected to see sales and service centres established in Indonesia, Japan, France, Malaysia, Vietnam and the Middle East during 2025. 

“We’re also establishing a production base in Thailand,” Zhang continues. “These efforts will strengthen our supply chain and partnerships with local distributors. With growing global brand recognition, exports have become a key part of our strategy, and we expect this trend to continue as we expand globally.”

Shi from Xilin declined to state how much of its production is exported but did say the export market is “crucial” for the growth of the Xilin brand and the sustainability of the wider business.

“Our export volume has seen significant growth over the past year,” Shi continues. “The export market allows us to expand our customer base, diversify revenue streams, and establish Xilin as a trusted brand in international markets. Moreover, it enables us to leverage global trends in materials handling, driving innovation and staying competitive.”

The future of China’s exports

An international market with a strong appetite for competitively priced materials handling equipment and technological advancement, continues to support the export ambitions of Chinese manufacturers.

Producers in China are exporting their products to a diversified customer base spread across multiple continents, to ensure they are as protected as possible from future tariffs or other market shocks.

“By reaching international customers, we can capitalise on new market opportunities and leverage economies of scale,” Hangcha’s Zhang concludes. “This not only boosts our revenue potential but also helps us mitigate risks associated with market volatility.”

Chinese materials handling equipment exports are likely to increase in the coming years - perhaps not as much to the US.