The global outboard engines market is slated to expand at a substantial rate through 2030 owing to increasing government regulations towards emission reduction.
Recently, major industry players in the sector have been investing heavily in R&D to cater to the rising demand for electric and hybrid outboard engines, which has proven favorable for outboard engines market growth. For instance, in April 2022, Honda India Power Products Ltd, the power products unit of Japanese automaker Honda Motor Company, which dominates the Indian portable generators space, announced plans to expand its footprint in the nation by penetrating the marine outboard motors market.
Honda India Power Products (HPPI) aimed to begin implementing its plans by importing outboard motor parts to OEMs operating in the country, with a possible switch to local production in the long run. The travel & tourism or leisure industry, fishing, and coastal security are three areas that offer significant opportunities for HPPI's 4-stroke marine outboard motors in the marine outboard lineup.
The outboard engines market has been segmented in terms of engine type, fuel type, power, ignition type, application, and region. Based on engine type, the industry has been divided into 2-stroke, 4-stroke, and electric. The 4-stroke segment is poised to register sturdy growth at a CAGR of over 5.3% to reach a sizable revenue by the end of the study time period.
With respect to fuel type, the outboard engines market has been bifurcated into diesel, gasoline, and electric. The electric segment is expected to expand at a CAGR of approximately 6.5% over the assessment period.
Under power, the market has been segregated into low, mid, and high. In 2021, the low segment accounted for a revenue share of around 20.32% and is likely to record significant progress in the forthcoming years. The mid segment is anticipated to register steady development at above 5% CARG through 2030.
Based on the ignition type, the outboard engines industry has been classified into electric and manual. The manual segment is foreseen to observe robust expansion at a CAGR of more than 5.2% over the review timeline.
With respect to application, the sector has been categorized into commercial, recreational, and military. The military segment is set to depict a CAGR of over 3.5% through the forecast period.
From the regional perspective, the Latin America outboard engines market is anticipated to grow at a nearly 6.8% CAGR between 2022 and 2030. Meanwhile, the Middle East & Africa outboard engines industry is estimated to showcase significant expansion up to 2030 due to increasing consumer interest in recreational activities across the MEA region.