Global ATV And UTV Market Size, Growth And Forecast To 2031

(MENAFN- Straits Research) Introduction

A vehicle is all-terrain if it has four low-pressure tires and handlebars. ATVs' versatility and off-road abilities make them popular in the military, forestry, agriculture, sports, and other industries and require special handling and training. Only a few locations permit their use on public roads; they typically use off-road. These have become increasingly popular in recent years because they make it possible to travel to far-off places and provide a helpful method of moving supplies and equipment. A utility terrain vehicle (UTV) is designed to perform tasks more successfully than a general-purpose vehicle.

Market Dynamics Rising Demand in Military Operations Drives the Global Market

More military tasks like troop transportation and navigating hazardous terrain call for ATVs and UTVs. Due to their superior mobility for tactical missions, ATVs and UTVs are also anticipated to experience significant growth in the military sector. High maneuverability, flexibility, and excellent navigational aids that provide drivers of moving vehicles with precise directions are additional factors that support market growth. For instance, the U.S. Special Operations Command (USSOCOM) awarded the Polaris MRZR Alpha, a brand-new Lightweight Tactical All-Terrain Vehicle, a USD109 million seven-year contract in May 2020.

More ATVs and UTVs on the market mean more potential mishaps involving these vehicles. For instance, the U.S., which has the most significant proportion of ATVs and UTVs, experienced the greatest number of fatalities from ATV and UTV accidents. The driver's failure to act prudently and safely is the main factor in nearly all auto accidents. Market players are also introducing ATVs and UTVs with modern features like GPS in more significant quantities that are safe and secure. For instance, the dependable off-road recreational, utility, and sport ATVs from Yamaha Motor Corp., USA, a car manufacturer, feature industry-leading comfort, capability, and safety. Therefore, the major players in the ATV and UTV markets have a business opportunity to develop ATVs and UTVs with improved safety features to prevent accidents and fatalities.

Regional Analysis

North America is the most significant shareholder in the global ATV and UTV market and is expected to grow at a CAGR of 5.7% during the forecast period. The high demand for ATVs, high disposable income of individuals, the potential for new and advanced technologies, a developed economy, and government regulations regarding ATV designs are the primary factors anticipated to increase demand for ATVs and UTVs in North America. The area's ATV and UTV market is growing due to new models introduced by major players and competitions held by renowned ATV and UTV clubs. Furthermore, it is anticipated that North America's market will expand due to legislation supporting these vehicles' use on public roads.

Asia-Pacific is expected to grow at a CAGR of 7.8% during the forecast period. The main driver of the ATV and UTV market growth in the Asia-Pacific region is the rising demand for power sports recreational activities in many nations, including China, Australia, and India. In the Asia-Pacific region, the market is growing due to the introduction of new ATV and UTV models and new ATV and UTV models designed for military applications. ATV and UTV riding circuits are also anticipated to expand the regional market. Additionally, rising leisure spending is expected to support market expansion in the Asia-Pacific region, particularly in developing nations like China and India.

Due to increasing military demand, ATV and UTV sales are expected to soar in countries like Germany, Russia, and France. This region's ATV and UTV market development is aided by introducing new ATV and UTV models and improvements and innovations made to these vehicles. The expansion of the European market is also anticipated to be administered by the rising popularity of adventure sports and leisure pursuits.

Key Highlights

• The global ATV and UTV market was valued at USD 9,813.16 million in 2021. It is expected to reach USD 17,739.86 million by 2030, growing at a CAGR of 6.80% during the forecast period (2022–2030).
• Based on vehicle type , the global ATV & UTV market is bifurcated into ATV and UTV. The UTV segment is the highest contributor to the market and is expected to grow at a CAGR of 6.5% during the forecast period.
• Based on displacement , the global ATV and UTV market is bifurcated into less than 400cc, 400-800cc, and more than 800cc. The 400-800cc segment owns the highest market share and is expected to grow at a CAGR of 6.1% during the forecast period.
• Based on fuel type , the global ATV and UTV market is bifurcated into gasoline-powered, diesel-powered, electric-powered, and solar powdered. The gasoline-powered segment is the highest contributor to the market and is expected to grow at a CAGR of 6.4% during the forecast period.
• Based on application , the global ATV and UTV market is bifurcated into utility and sports. The sports segment owns the highest market share and is expected to grow at a CAGR of 6.2% during the forecast period.
• Based on end-user verticals , the global ATV and UTV market is bifurcated into agriculture, military, and mountaineering. The mountaineering segment is the highest contributor to the market and is expected to grow at a CAGR of 5.5% during the forecast period.
• North America is the most significant shareholder in the global ATV and UTV market and is expected to grow at a CAGR of 5.7% during the forecast period.