The all-terrain vehicle market size is projected to grow from USD 2.9 billion in 2024 to USD 3.3 billion by 2030, at a CAGR of 2.3%. The market is rising due to increased applications for farm and military operations, advancements in AI technology, which have improved the riding experience, and safety technology for ATVs. This market has also gained popularity due to increased race events and recreational activities in North America and Europe.
The >four-wheels in Side-by-side will be the fastest growing segment during the forecast period
>Four wheels in side-by-side (SxS) vehicles is the fastest growing market, and it has become increasingly popular in various applications such as sports and utility operations. These SxS vehicles have higher seating capacity with four and >four wheels used in agriculture and military operations. According to the annual report of Polaris 2023, there is an increase in the sales volume for side-by-side vehicles in the US from the past 4-5 years, which increased from 550,000 units in 2019 to 620,000 units in 2023. This increase in wheels is due to the ability of SxS vehicles to transport more passengers and carry loads simultaneously. Many OEMs are investing heavily in R&D for developing new SxS vehicles. For instance, in April 2023, Arctic Cat (US) launched “Prowler Pro,” which was a utility side-by-side designed for both work and recreational use, and in May 2023, Polaris Inc. launched “the 2024 XPEDITION XP” SxS vehicle, which falls under their new brand category named as “Adventure side-by-sides.” With gradually increasing demand for SxS vehicles. With the increased demand for SxS vehicles, many companies offer advanced features. For instance, SuperATV (US) company had partnered with onX Offroad to install off-road navigation app for the convenience of the riders.
Download PDF Brochure @ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=255821381
Engine Capacity 400-800 cc ATVs accounted for the largest market share during the forecast period
In all-terrain vehicle, 400 – 800 cc engines have a higher demand globally and has a higher market in North America and Europe. These ATVs with 400 – 800 cc engines are primarily used in construction, farming, hunting, and military applications. These ATVs are more prevalent throughout North America because of the growing demand for greater torque and power output. ATVs with engine capacities ranging from 400 – 800 cc for recreational riding are categorized as mid-sized to large and highly recommended because of their ideal blend of power and maneuverability. They have an outstanding balance that makes them suitable for off-roading, trail riding, and exploring a variety of terrains. The market with the quickest growth rate for ATVs with 400 – 800 cc engines is anticipated to be Asia Oceania. The Asia-Oceania market for 400 to 800 cc ATVs is expected to increase due to the increasing use of ATVs for transportation, recreation, and agricultural purposes.
The electric all-terrain vehicles with >10 kWh battery capacity is estimated to register highest CAGR in the projected period
The preference for electric ATVs with over 10 kWh battery capacity is growing due to strict environmental regulations set by the developed countries for sustainability. As sustainability becomes a more significant concern, both consumers and governments are pushing for lower-emission alternatives to traditional gas-powered vehicles. These ATVs which have higher >10 kWh battery capacity gives longer range and greater power, which makes them ideal heavy-duty work such as agriculture, military, industrial and forestry. For instance, Eco Charger had launched Lithium PRESTIGE equipped with 11.2 kWh battery, Daymak had launched Beast AWD which comes with 19.2 kWh battery capacity and Theron had launched Reever which was equipped with 10.5 kWh battery capacity. These higher battery capacities are ATVs are the preferred choice for heavy-duty tasks and long off-road adventures.
Consumers choose these electric ATV models with >10 kWh battery capacity due to reliability, lower maintenance costs, and enhanced performance. Specific regulation and standard for electric ATVs are still evolving, related to battery safety, charging infrastructure, and environmental impact. Hence, due to higher demand for >10 kWh batteries, ATV manufacturers are more focused towards higher capacity batteries which has also raised the smart connected technologies and features in the electric ATVs for increasing the safety and enhancing the riding conditions.
North America to be the largest market for all-terrain vehicles during the forecast period
The North American market has a higher demand for ATVs due to increased recreational and outdoor activities after the pandemic. In North America, the growth ATV has affected in past 5 years, due to which the sales have lowered in North America. For instance, in 2020 the ATV sales was around 640,000 units which was decreased to 565,000 units in 2023 according to annual report 2023 of Polaris Inc (US). These decline in ATVs sales is due to change in consumer preference for side-by-side vehicles. As these side-by-side vehicles provide more safety and extra seating capacity for the customers. These ATVs are used in many race events with higher engine capacity and in the agriculture sector for precision farming. Looking at the higher demand, many Japanese ATV manufacturers have shifted their plants to Mexico and the US to cater to the increased demand for ATVs. From April in Mexico, Kawasaki Heavy Industries (Japan) has begun mass production of off-road four-wheelers, including ATVs and side-by-side vehicles. Hence, these factors are driving the market for ATVs and side-by-side vehicles in North America.
Key Market Players
Key players in all-terrain vehicle market are as Polaris Inc. (US) and Honda Motor Co, Ltd (Japan), BRP (Canada), Yamaha Motor Corporation (Japan), and Textron Inc. (US). Suzuki Motor Corporation (Japan), Deere & Company (US), CFMOTO (China), Hisun (US). These players not only have a comprehensive and diverse product portfolio but also have a strong geographic presence. These players are focused on developing electric and gasoline ATVs with 2-seater and ≥2-seater seating capacity according to requirements.
These companies offer several product offerings and have operations worldwide. They rely on their R&D capabilities and diversified product and service portfolios to increase their market share. These companies focus on product launches, collaborations, acquisitions, contracts, and partnerships to strengthen their footprint through product innovations and extend their business reach
Request Free Sample Report @ https://www.marketsandmarkets.com/requestsampleNew.asp?id=255821381
