Global Outboard Engines Market is set to witness growth between 2023 and 2032, primarily owing to the economic development across the globe, along with increasing government funding towards ongoing infrastructure projects. Besides, supported by surging import and export initiatives, disposable income is increasing around the world, which will also fuel the product demand during the next decade.
Overall, the outboard engines market is segmented in terms of engine, fuel, power, ignition, application, and region.
In terms of engine, the electric segment will grow at more than 6% CAGR during 2023-2032. The segmental growth can be accredited to the stringent emission laws, increasing adoption of electric outboard motors, and steady improvement in battery and motor technology, which is establishing electric outboards as an alternative to fossil fuel-based outboard motors. Citing an instance, in December 2022, the U.S. Environmental Protection Agency announced new emissions standards to cut soot and smog-forming emissions from heavy-duty trucks. As per reports, these new standards are 80% more stringent than the current standard.
In the context of fuel, the market is likely to be characterized by the gasoline segment, which will grow by 2032 end. The demand for gasoline-operated outboard engines is driven by increasing water sports activities and recreational activities worldwide.
On the basis of power, the low segment will grow significantly by 2032, owing to the rising demand for low-powered outboard engines. This can be significantly propelled by the inclining consumer interest toward efficient motors, which can be used for short-haul operations.
Based on the ignition, the manual operated outboard engines are slated to record positive gains over the coming years. The growth is likely to come from the product attributes including hassle-free ignition. Besides, advancements in battery technology will also add impetus to the market demand.
Based on application, the military segment is anticipated to grow at more than 5% CAGR through 2032. The expansion can be accredited to the increasing naval expenditure by various countries to secure their coasts. For instance, in February 2022, it was reported that China increased its naval budget by almost 75% when compared to 2021.
In the regional context, the Europe outboard engines market will grow rapidly by 2032, due to the availability of engine manufacturers in the region. Besides, marine tourism is also increasing in the region, which coupled with the ongoing developments in yachting marina and boating infrastructure will add impetus to the market. As per a report, maritime and coastal tourism is the largest maritime activity in the European Union and employs more than 3 million people, while generating more than USD 193 billion in terms of gross value each year.