The most significant factor affecting the forklift market in California in 2026 is the Zero-Emission Forklift (ZEF) Regulation by the California Air Resources Board (CARB). This regulation is phasing out internal combustion (LSI) forklifts in favor of zero-emission models, impacting manufacturers, dealers, fleet operators, and rental agencies.
1. California's Zero-Emission Forklift Regulation
The CARB regulation targets "large spark-ignition" (LSI) forklifts powered by gasoline, propane, or natural gas and applies to Class IV and V forklifts.
Key Deadlines and Restrictions:
Starting January 1, 2026:
Manufacturers cannot produce or sell new Class IV LSI forklifts in California unless they are zero-emission.
Dealers cannot sell or lease new 2024 or earlier model year LSI forklifts to fleet operators.
Fleet Operators cannot acquire new 2026 or later model year LSI forklifts. They also cannot possess or operate 2025 or earlier model year LSI forklifts that have already been phased out.
Starting January 1, 2027:
Dealers will be prohibited from possessing new 2025 model year Class IV LSI forklifts.
Starting January 1, 2029:
Manufacturers cannot produce or sell new Class V LSI forklifts with a capacity of 12,000 lbs or less unless zero-emission.
Dealers cannot possess 2026 or later model year Class V LSI forklifts with a capacity of 12,000 lbs or less.
Starting January 1, 2038:
Dealers will be prohibited from possessing any Class IV LSI forklift or a Class V LSI forklift with a capacity of up to 12,000 lbs.
Fleets can rent 2026-2028 model year Class V LSI forklifts from a rental agency until this date.
Fleet Operator Requirements:
Phase-Out Schedules: Fleets must phase out existing LSI forklifts according to a schedule based on model year and class.
Recordkeeping: Fleet operators must maintain records for all LSI forklifts in their California fleet.
Reporting: Initial reports for large fleets were due by April 30, 2026.
2. Major Forklift Dealers in California
California is home to a large network of authorized dealers for all major forklift brands.
Dealer Location(s) Brands / Specialization
Holt of California Central Northern CA, East Bay Area Caterpillar (CAT), Mitsubishi, Clark
Southwest ToyotaLift Anaheim, Thousand Palms (CA) and Las Vegas (NV) Toyota
Alta Lift Selma, CA Caterpillar (CAT), Crown, Kalmar, Manitou, Combilift
Quinn Company Selma, CA Material handling solutions
Pacific Material Handling Solutions California Fleet management, new/used forklifts, rentals
3. Price and Rental Guide (2026)
New Forklift Prices
JLG 519 Telehandler (2026): 5,500 lbs capacity, 19 ft lift height. Manufacturer's Suggested Retail Price (MSRP) shown for new equipment does not include government fees, taxes, dealer freight/preparation, dealer document preparation charges or finance charges.
Combilift AGT 11000 (2026): Available in Mira Loma, CA. Price listed is MSRP and excludes additional fees.
Used Forklift Prices (2026)
Clark and Caterpillar forklifts available in Stockton and West Sacramento, CA, priced between $26,900 and $109,900.
Forklift Rentals (Los Altos, CA)
5,000 lb Cushion Tire Warehouse Forklift: $150/day**, **$393/week, $1,007/month.
5,000 lb Electric Cushion Tire Warehouse Forklift: $182/day**, **$468/week, $1,007/month.
13,000-15,000 lb Forklift: $398/day**, **$1,414/week, $3,628/month.
Summary
In 2026, the California forklift market is undergoing a major transformation driven by CARB's Zero-Emission Forklift Regulation. The regulation restricts the sale and operation of new LSI (propane/gasoline) forklifts, mandating a shift to zero-emission alternatives like battery-electric or fuel-cell models. Key 2026 deadlines affect manufacturers, dealers, and fleet operators, with further restrictions scheduled through 2038. A robust network of dealers (e.g., Holt of CA, Southwest ToyotaLift) continues to serve the state, offering new, used, and rental forklifts from brands like Toyota, CAT, and Mitsubishi. When purchasing or renting in California, it is critical to verify a forklift's compliance status with the latest CARB regulations and confirm any additional fees beyond the listed price.