|
Forecast
Period
|
2024-2028
|
|
Market
Size (2022)
|
USD
2.73 billion
|
|
CAGR
(2023-2028)
|
3.79%
|
|
Fastest
Growing Segment
|
Lawnmower
|
|
Largest
Market
|
North
America
|
Market Overview
The Global Small Gas Engines Market was valued at USD
2.73 billion in 2022 and is growing at a CAGR of 3.79% during the forecast
period. The increasing awareness among individuals regarding the rise in carbon
dioxide emissions is a significant factor contributing to the growth of this
market. Small engines are widely recognized for their fuel efficiency and
compliance with government regulations, which further drives their demand in
the market. In addition, small gas engines are extensively utilized in
construction equipment such as concrete mixers, compactors, and power
generators. These engines are renowned for their reliability, power, and fuel
efficiency, making them an ideal choice for construction sites with limited
access to grid power or fuel sources. The growth in both residential and
commercial construction industries directly impacts the demand for small gas
engines.
Key Market Drivers
Growing Demand for Outdoor Power Equipment
The global small gas engines market is propelled by
the increasing demand for outdoor power equipment. Outdoor power equipment,
such as lawnmowers, leaf blowers, and chainsaws, heavily relies on small gas
engines for efficient operation. As urbanization continues to expand, there is
a growing need for well-maintained lawns, gardens, and public spaces.
Consequently, the sales of outdoor power equipment have surged, thereby
boosting the small gas engines market.
One of the primary factors contributing to the
rising demand for outdoor power equipment is the growing emphasis on
landscaping and lawn care, both in residential and commercial sectors.
Homeowners are now investing more in their outdoor spaces, resulting in a
higher demand for lawnmowers and other related tools. Similarly, commercial
landscaping companies require efficient and reliable equipment to maintain
parks, golf courses, and other public spaces. Small gas engines are preferred
in these applications due to their power, durability, and ease of use.
Furthermore, the construction industry also heavily
relies on small gas engines for various tasks, such as concrete cutting and
compaction. With the construction sector witnessing steady growth globally, the
demand for small gas engines in construction equipment is also on the rise.
These engines provide the necessary power and mobility required for
construction machinery, making them an indispensable component in this
industry.
In addition to landscaping and construction, the
agriculture sector remains a significant driver of the small gas engines
market. Farmers rely on small gas engines for a wide range of applications,
including tractors, tillers, and irrigation pumps. As the global population
continues to grow, there is an increased need for efficient and productive
farming practices, leading to higher demand for agricultural equipment powered
by small gas engines.
In conclusion, the expanding demand for outdoor
power equipment across residential, commercial, and industrial sectors serves
as a major driver for the global small gas engines market. This trend is
expected to persist as urbanization, landscaping, construction, and agriculture
activities continue to grow, creating a sustained market for small gas engines.
Expanding Recreational and Leisure Activities
Another key factor driving the global small gas
engines market is the growing range of recreational and leisure activities that
rely on small gas-powered equipment. From recreational vehicles (RVs) to boats,
snowmobiles, and off-road vehicles, there is a diverse array of recreational
equipment that utilizes small gas engines to provide power and mobility.
The RV industry, for example, has witnessed
significant growth in recent years. RVs are equipped with small gas generators
that supply electricity, heating, and cooling while on the road or at
campgrounds. The increasing popularity of RV travel, particularly in North
America, has resulted in a surge in the demand for these vehicles, consequently
driving the demand for small gas engines.
Boating and marine activities are also major
drivers of the small gas engines market. Small gas engines are commonly
employed in various types of boats, including fishing boats, speedboats, and
pontoons, to power propulsion systems and onboard accessories such as
generators and pumps. As the interest in water-based recreational activities
continues to grow, so does the demand for small gas engines in the marine
sector.
Furthermore, off-road vehicles such as all-terrain
vehicles (ATVs) and dirt bikes play an integral role in outdoor recreational
pursuits. These vehicles rely on small gas engines for their performance and
maneuverability. The popularity of off-roading and outdoor adventure sports has
led to a consistent demand for small gas engines in this segment.
Snowmobiling is yet another recreational activity
that drives the small gas engines market, particularly in regions with snowy
winters. Snowmobiles are equipped with small yet powerful engines that enable
riders to navigate through snow-covered terrains. As winter tourism and snow
sports gain popularity, the demand for snowmobiles and, consequently, small gas
engines remains robust.
In conclusion, the expansion of recreational and
leisure activities that require small gas-powered equipment serves as a
significant driver for the global small gas engines market. The appeal of
outdoor adventures, RV travel, boating, off-roading, and snowmobiling is
expected to fuel sustained growth in this market segment.
Increasing Demand for Backup Power Generation
The rising demand for backup power generation
solutions is a critical driver of the global small gas engines market. Small
gas engines are commonly used in generators to provide backup power during grid
failures, particularly in regions with unreliable or vulnerable power
infrastructure.
One of the primary factors contributing to the
growing need for backup power generation is the increasing frequency and
severity of natural disasters, such as hurricanes, storms, wildfires, and
earthquakes. These events can cause prolonged disruptions to power supply,
making backup generators essential for households, businesses, and critical
facilities like hospitals and data centers. Small gas engines are preferred due
to their compact size, ease of maintenance, and quick response time when power
is required.
Furthermore, the growing reliance on electronic
devices and digital infrastructure has heightened the importance of
uninterrupted power supply. Data centers, in particular, require reliable
backup power solutions to ensure continuous operation of critical IT systems.
Small gas generators are often used in conjunction with uninterruptible power
supplies (UPS) to facilitate seamless power transitions during outages.
In remote areas with limited or no access to the
electrical grid, small gas generators play a vital role in providing
electricity for homes, farms, and small businesses. This is especially relevant
in developing regions where infrastructure development is still underway.
The expansion of the e-commerce industry has also
fueled the demand for backup power generation. Warehouses and distribution
centers rely on reliable power to operate efficiently, and small gas generators
offer a cost-effective solution to ensure uninterrupted order processing and
delivery services.
Additionally, as more individuals work remotely and
depend on home offices, the need for backup power solutions at the household
level has increased. Small gas generators provide a practical way to keep
essential appliances and devices running during power outages, ensuring
productivity and comfort.
In conclusion, the growing demand for backup power
generation solutions driven by natural disasters, digital infrastructure,
remote areas, e-commerce, and remote work is a significant driver for the
global small gas engines market. As the importance of reliable backup power
continues to grow, so does the market for small gas engines used in generators
and related applications.
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Key Market Challenges
Environmental Concerns and Emissions Regulations
One of the primary challenges confronting the
global small gas engines market is the growing environmental awareness and
stricter emissions regulations. Small gas engines, typically fueled by gasoline
or diesel, emit greenhouse gases and other pollutants that contribute to air
pollution and climate change. Governments worldwide are actively combating
these issues by imposing increasingly stringent emissions standards on various
equipment, including small gas engines.
Compliance with these emissions regulations
presents a significant challenge for manufacturers in the small gas engine
industry. It entails the complex engineering task of developing engines that
are both powerful and efficient while reducing harmful emissions. Achieving
compliance often requires substantial investments in research and development
to innovate cleaner combustion technologies, exhaust aftertreatment systems,
and alternative fuel options.
Moreover, meeting emissions standards can lead to
higher production costs for small gas engines, potentially resulting in
increased prices for consumers. Manufacturers must carefully balance
environmental responsibility with market competitiveness. This challenge is
further compounded as emissions standards evolve and become more demanding over
time, necessitating ongoing innovation and adaptation.
In addition, navigating the intricate network of
international emissions regulations poses a logistical challenge for
manufacturers operating in the global market. Different regions and countries
have their own emissions standards and testing procedures, requiring compliance
on multiple fronts. This can result in heightened administrative and regulatory
burdens, as well as potential delays in product launches.
Competition from Electric Power Solutions
The global market for small gas engines is facing
fierce competition from electric power solutions, particularly in applications
where environmental concerns and energy efficiency take precedence. Electric
engines, powered by batteries, have gained significant traction in various
sectors, including lawn and garden equipment, bicycles, and small vehicles.
Electric power solutions offer numerous advantages,
such as reduced emissions, quieter operation, and lower operating costs. They
are particularly attractive in residential settings, where concerns about noise
pollution and air quality are significant. Electric lawnmowers, for instance,
have witnessed a surge in popularity due to their quieter operation and zero
emissions.
This shift towards electric alternatives presents a
challenge for traditional small gas engine manufacturers. They must adapt their
product offerings to remain competitive in a market where customers are
increasingly environmentally conscious. This may involve the development of
hybrid or dual-fuel options that combine the benefits of small gas engines with
reduced emissions and improved efficiency.
Furthermore, the infrastructure for electric
charging and battery technology is advancing rapidly, further enhancing the
appeal of electric solutions. As electric power systems become more accessible
and affordable, the small gas engines market may face even greater competition,
particularly in urban and suburban areas.
Supply Chain Disruptions and Material Shortages
The global market for small gas engines is
confronted with challenges related to disruptions in the supply chain and
shortages of materials. These challenges have been further amplified by events
such as the COVID-19 pandemic and geopolitical tensions. Small gas engines rely
on a complex supply chain that encompasses components, raw materials, and
manufacturing processes from various regions worldwide.
The pandemic has underscored the vulnerability of
global supply chains, with production and logistics being disrupted due to
lockdowns, travel restrictions, and workforce shortages. Many manufacturers of
small gas engines have encountered delays in obtaining essential components,
leading to production bottlenecks and increased lead times. The industry
continues to face challenges in terms of the availability of critical materials
and components.
Geopolitical tensions and trade disputes can also
impact the small gas engines market by impeding the flow of materials and
components across borders. Tariffs and trade barriers can result in increased
costs for manufacturers, affecting pricing and market competitiveness.
Moreover, shortages of vital materials such as
semiconductors and rare earth metals can disrupt the production of small gas
engines, as these components are integral to engine control systems and other
critical applications. Such shortages can arise from factors beyond the control
of the industry, such as heightened demand for electronic devices or
geopolitical trade restrictions.
To alleviate these challenges, manufacturers in the
small gas engines market must diversify their supply chains, establish
contingency plans, and invest in robust inventory management systems. It is
also crucial for them to closely monitor geopolitical developments and foster
collaborative relationships with suppliers to ensure a steady flow of materials
and components.
Key Market Trends
Adoption of Alternative Fuels for Small Gas Engines
A notable trend observed in the global market for
small gas engines is the increasing adoption of alternative fuels as a
cost-effective and environmentally friendly solution. Traditionally, small gas
engines have heavily relied on gasoline or diesel fuels, which contribute to
emissions and environmental pollution. However, in response to a growing
concern for the environment and stricter emissions regulations, manufacturers
and consumers are now exploring alternative fuel options.
One prominent alternative fuel gaining significant
traction is propane. Propane-powered small gas engines offer several
advantages, including lower emissions, reduced fuel costs, and longer engine
life due to cleaner combustion. Propane is considered a cleaner-burning fuel
compared to gasoline or diesel and is readily available in many regions.
Consequently, propane-powered small gas engines are finding applications in
various fields such as lawn mowers, generators, and forklifts.
Another emerging trend is the utilization of
natural gas as an alternative fuel for small gas engines. Natural gas is
abundant and often more cost-effective than traditional gasoline or diesel
fuels. It emits fewer greenhouse gases and particulate matter, making it an
appealing option for environmentally conscious consumers and industries. Small
gas engines powered by natural gas are being employed in diverse applications,
including power generation, irrigation pumps, and commercial vehicles.
Moreover, the development of biofuels, such as
ethanol and biodiesel, presents opportunities for reducing the environmental
impact of small gas engines. These biofuels are derived from renewable sources
like corn or soybeans and can be blended with conventional fuels to decrease
emissions. Small gas engines designed to run on biofuels are becoming
increasingly prevalent, particularly in agriculture and forestry applications.
Overall, the inclination towards alternative fuels
in the small gas engines market signifies a growing emphasis on sustainability
and environmental responsibility. Manufacturers are expected to continue
investing in research and development to optimize engine performance and
compatibility with these alternative fuels, while consumers and businesses seek
more eco-friendly options for their equipment.
Smart Technology Integration in Small Gas Engines
Another significant trend in the global small gas
engines market is the integration of smart technology and digital solutions
into engine design and operation. This trend is driven by the pursuit of
greater efficiency, improved performance monitoring, and an enhanced user
experience.
One aspect of this trend is the development of
electronic fuel injection (EFI) systems in small gas engines. EFI systems
replace traditional carburetors with electronic controls, resulting in more
precise fuel delivery and optimized combustion. EFI-equipped engines offer
advantages such as improved fuel efficiency, reduced emissions, and enhanced
starting reliability, even in extreme weather conditions. These systems also
enable real-time engine diagnostics and performance monitoring.
Furthermore, the incorporation of sensors and
connectivity features into small gas engines is becoming increasingly
prevalent. These sensors can provide data on engine temperature, oil pressure,
fuel level, and other critical parameters. Integrated connectivity allows users
to remotely monitor and control their equipment via smartphone apps or
web-based platforms, enabling features like remote start, shutdown, and
maintenance alerts.
In the commercial and industrial sectors, the trend
towards telematics and fleet management solutions is growing. Small gas engines
in equipment such as generators, construction machinery, and utility vehicles
are being outfitted with telematics systems that provide real-time location
tracking, fuel consumption data, and predictive maintenance insights. These
systems help businesses optimize their fleets, reduce downtime, and improve
overall operational efficiency.
Overall, the integration of smart technology into
small gas engines aligns with the broader industry shift towards Industry 4.0
and the Internet of Things (IoT). As digital solutions continue to advance,
small gas engine manufacturers are likely to explore new avenues to enhance
performance, reliability, and user convenience through connectivity and
data-driven insights.
Segmental Insights
Engine Displacement Insights
The 101-450cc
segment holds a significant market share in the Global Small Gas Engines
Market. This growth is primarily driven by the increasing demand for power
equipment across various sectors, including landscaping, agriculture,
construction, and power generation.
Small gas engines within
this range play a crucial role in various agricultural equipment such as
tillers, irrigation pumps, and small tractors. With the expanding global
population, there is an ongoing requirement for efficient and productive
farming practices, which fuels the demand for these engines. The construction
industry heavily relies on small gas engines in this segment for tasks like
concrete cutting, compacting, and powering small machinery. The growth of the
construction sector significantly contributes to the demand for engines in this
category.
Gradually, small gas
engines in the 101-450cc segment are integrating smart technology, including
electronic fuel injection (EFI) systems and sensors for real-time monitoring
and diagnostics. These advancements enhance efficiency and improve the user experience.
There is a notable opportunity for aftermarket retrofitting and engine
upgrades, particularly for generators and construction equipment, to enhance
performance, efficiency, and compliance with emissions regulations.
In conclusion, the
101-450cc segment of the global small gas engines market is characterized by
its versatility and extensive range of applications.
Application Insights
The Gardening
segment holds a significant market share in the Global Small Gas Engines
Market. A significant portion of gardening equipment sales in this segment is
attributed to replacements and upgrades, as consumers seek more efficient and
advanced tools to maintain their outdoor spaces effectively.
String trimmers, also
referred to as weed eaters or weed whackers, utilize small gas engines to trim
grass and weeds in hard-to-reach areas where lawnmowers are not suitable.
Gas-powered chainsaws are primarily used for tree cutting, branch pruning, and
firewood processing, offering the necessary power and mobility for demanding
tasks.
Some gardening equipment
within this segment incorporates smart technology, including electronic fuel
injection (EFI), sensors, and connectivity for real-time monitoring and user
convenience.
Collaborating with garden
supply retailers and home improvement stores can broaden market reach and
provide direct consumer access. Offering aftermarket accessories and parts for
maintenance and enhancements can create additional revenue streams.
In conclusion, the
gardening segment in the global small gas engines market is characterized by
seasonality, a wide range of powered equipment, and an increasing focus on
emissions compliance and technology integration.
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Regional Insights
The North America region is expected to dominate
the market during the forecast period due to its substantial size. The region
benefits from a well-established small gas engines industry with renowned
manufacturers and a wide range of applications. These applications encompass
lawn and garden equipment, power generators, construction machinery,
recreational vehicles, and marine equipment.
The North American market for small gas engines has
demonstrated consistent growth over time. This growth can be attributed to
several factors, including a robust construction industry, the popularity of
outdoor power equipment, and a significant demand for backup power solutions.
Environmental consciousness represents a significant trend that drives the
North American small gas engines market. Stricter emissions regulations and a
growing preference for eco-friendly alternatives have stimulated manufacturers
to develop cleaner and more fuel-efficient small gas engines.
The region is witnessing an increasing adoption of
alternative fuels such as propane, natural gas, and biofuels. These fuels are
considered to be more sustainable and cost-effective, aligning with the
region's commitment to emissions reduction and promotion of renewable energy
sources.
The growing interest in landscaping, lawn care, and
outdoor activities in North America presents an opportunity for manufacturers
to meet the demand for small gas engines in equipment such as lawnmowers, leaf
blowers, and snow blowers.
Recent Developments
- In June 2022, Mitsubishi
Heavy Industries Engineering, Ltd. and Mitsubishi Heavy Industries Engine &
Turbocharger, Ltd. (MHIET), the two group companies of Mitsubishi Heavy
Industries, Ltd. (MHI), commenced the demonstration testing of MHIENG's CO2
capture technology in MHIET's gas engine generating sets. The testing
constituted a crucial element of the MHI Group's pursuit of carbon neutrality
through its "MISSION NET ZERO" initiative and would play a pivotal
role in realizing decarbonization across industries.
- In June 2022, Briggs &
Stratton forged a partnership with AWEV Solutions Pvt. Ltd., an innovative
developer of mobility products and solutions. Briggs & Stratton contributed
its groundbreaking conversions of internal combustion engine vehicles to
electric power.
- In April 2021, Alliant
Energy entered into a partnership with Kohler Co. to develop a 2.25 MW
ground-mounted solar system on Kohler's headquarters property in Kohler,
Wisconsin. This sustainable energy collaboration will provide clean energy to
580 households annually. The completion of the Kohler Solar Field was slated
for the end of 2021.
Key Market
Players
- Briggs & Stratton Corporation
- Kohler Co.
- Mitsubishi Heavy Industries, Ltd.
- Honda Motor Co., Ltd
- Fuji Heavy Industries
- Kubota corporation
- Generac Power Systems
- Yamaha Motor Corp.
- Kawasaki Heavy Industries
- Kubota Corporation
|
By Engine Displacement
|
By Application
|
By Equipment
|
By Region
|
- 20-100cc
- 101-450cc
- 451-650cc
|
- Gardening
- Industrial
- Construction
- Others
|
- Lawnmower
- Chainsaw
- Portable Generator
- Pressure Washer
- Others
|
- North America
- Europe
- South
America
- Middle East & Africa
- Asia Pacific
|
Report Scope:
In this report, the Global Small Gas Engines Market
has been segmented into the following categories, in addition to the industry
trends which have also been detailed below:
o
20-100cc
o
101-450cc
o
451-650cc
- Global
Small Gas Engines Market, By Application:
o
Gardening
o
Industrial
o
Construction
o
Others
- Global
Small Gas Engines Market, By Equipment:
o
Lawnmower
o
Chainsaw
o
Portable
Generator
o
Pressure
Washer
o
Others
- Global Small Gas Engines Market, By Region:
o North America
§ United States
§ Canada
§ Mexico
o Europe
§ France
§ United Kingdom
§ Italy
§ Germany
§ Spain
o Asia-Pacific
§ China
§ India
§ Japan
§ Australia
§ South Korea
o South America
§ Brazil
§ Argentina
§ Colombia
o Middle East & Africa
§ South Africa
§ Saudi Arabia
§ UAE
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the Global Small
Gas Engines Market.
Available Customizations:
Global Small Gas Engines Market report with
the given market data, Tech Sci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
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market players (up to five).
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