Hazardous location operations do not get to use standard warehouse equipment. A paint manufacturer, a petroleum storage facility, a grain elevator, or a chemical plant running a forklift in a classified area needs a machine that will not ignite the atmosphere around it. Explosion-proof and EX-rated forklifts are built to that standard: sealed motors, spark-resistant wiring, protected switches, and mast configurations that keep potential ignition sources away from the load. They cost significantly more than equivalent standard machines, and they require financing from someone who knows what they are and what they are worth.
EX-rated forklifts from manufacturers like Toyota, Hyster, Yale, and Jungheinrich carry a substantial premium over their standard counterparts. An EX-rated electric counterbalance in the 5,000-pound class that would cost $40,000 as a standard machine can run $70,000 to $100,000 in an explosion-proof configuration. Specialty gas-motor options rated for outdoor classified areas carry similar premiums. Used EX-rated machines have a thinner secondary market than standard equipment, but they do trade among companies that need them.
We finance explosion-proof forklifts from $50,000, new or used. The deal structures available are the same as for standard equipment:equipment loan,lease with buyout, or sale-leaseback on machines you already own and operate. B and C credit are handled on the basis of business cash flow. Most transactions close in seven to fourteen days.
Companies that run EX forklifts often also need to finance ancillary equipment for their classified areas and carry additional standard forklifts for adjacent non-classified zones. We can package those in a single application along with the EX units through our broaderelectric forklift financingprogram.
EX Forklift Classifications and Why They Matter for Financing
Explosion-proof forklifts are classified under the NFPA 505 and NEC 505/500 frameworks, which define the type and degree of hazardous material present in the operating area. Understanding these classifications is important for both operational compliance and financing, because the specific EX rating affects the machine's market value and the lender's ability to assess it.
Class I, Division 1 and Division 2cover areas where flammable gases or vapors may be present. Paint mixing rooms, solvent storage areas, petroleum loading docks, and chemical processing areas fall here. Forklifts rated for Class I are the most common type of EX machine purchased by industrial buyers.
Class II, Division 1 and Division 2cover combustible dust environments. Grain elevators, flour mills, sugar processing plants, and facilities handling combustible metal powders require Class II equipment. Grain elevator operators are a significant buyer segment in this category.
Class IIIcovers areas with ignitable fibers and flyings. Textile plants, woodworking facilities, and some plastic-processing operations fall in this class. Class III-rated equipment is less common than Class I and II.
- EX ratings must be clearly documented on the machine's data plate
- NFPA 505 specifies the standard for powered industrial truck use in hazardous locations
- Toyota's EXPA series, Hyster EX models, and Jungheinrich EX units are established products in this category
- Maintenance of EX-rated equipment must follow specific protocols to maintain certification
Lenders who do not understand these classifications often either decline EX forklift financing entirely or misprice the collateral value. We have financed enough of these machines to know what a well-maintained Class I Toyota EXPA is worth and what market it trades in.
Operations That Require Explosion-Proof Forklifts
The buyer base for EX-rated forklift financing is narrower than the general lift-truck market, which is precisely why it requires a specialist lender. The operations that need these machines include:
Chemical and plastics manufacturershandling flammable liquids, reactive compounds, or combustible powders in their production or storage areas. These facilities have written area classifications that determine exactly which equipment can operate where.
Grain elevators and agricultural processing plantswhere grain dust creates Class II hazardous conditions in storage bins, transfer areas, and enclosed processing spaces. A single ignition event in a grain elevator can be catastrophic. The cost of EX equipment is a small fraction of the risk it mitigates.
Paint manufacturers and solvent-based coating operationswhere Class I vapor hazards exist at the mixing, filling, and storage stages of production.
Petroleum and fuel distribution terminalsthat move product in above-ground tank storage areas where flammable vapor is a predictable presence.
Across all these sectors, the buyer is typically a regulated operation that has had its hazardous area classification verified by an engineer or fire marshal. The written classification dictates the equipment specification, and the equipment specification drives the machine purchase. We operate in this buyer chain regularly and understand that the decision to purchase is often compliance-driven rather than purely economic.
For operations in thechemical and plastics industry, we finance both EX forklifts and the material handling equipment used in adjacent non-classified areas of the same facility.Agriculture and grain handlingoperations with combustible dust exposure are another strong segment we serve regularly.
How EX Forklift Financing Works
The financing process for EX-rated forklifts follows the same path as standard equipment with one additional consideration: the machine's classification rating needs to be documented in the transaction. Lenders need to know they are financing a properly rated machine, not a standard forklift being used illegally in a classified area.
For new machine purchases, the dealer invoice will specify the EX rating and the classification the machine is certified for. That documentation flows through the deal naturally. For used machine purchases, we need the machine's data plate information confirming the original EX certification and any documentation of inspections or maintenance performed to keep the certification valid.
EX certification can be voided if the machine is modified or serviced with non-approved parts and procedures. A machine that has been improperly modified may not be financeable as an EX unit, and more importantly, it may not be legally operable in the classified area it was purchased for. We ask about service history and certification status for this reason.
Application-only financing is available for transactions under $400,000. Most EX-rated counterbalance and reach truck purchases fall within that range. Recent operating statements and a purchase agreement are the documentation requirements. Larger or custom-configured EX units require supplemental financials.
We also offersale-leasebackon existing EX-rated forklifts for operations that have capital tied up in certified equipment and want to free it up for other uses.
Finance Your Explosion-Proof Forklift
Class I, II, or III. Toyota EXPA, Hyster EX, Jungheinrich EX, or another manufacturer. New or used, purchase or leaseback. We fund from $50,000, application-only under $400,000. B or C credit is fine. Completed forklift packages usually fund inside seven to fourteen days.