Power Sports Market

Power Sports Market Size

The global power sports market size was estimated at USD 59.6 billion in 2024. The market is expected to grow from USD 62.4 billion in 2025 to USD 109.2 billion in 2034, at a CAGR of 6.7%.

• The power sports market is experiencing dynamic growth driven by rising consumer interest in recreational and competitive motorized sports vehicles, including ATVs, snowmobiles, motorcycles, and personal watercraft. Increasing disposable incomes, expanding outdoor leisure activities, and growing awareness of power sports contribute to market expansion. The adoption of electric and hybrid power sports vehicles is also gaining traction as environmental concerns and emission regulations become more prominent globally.
  
• Key modernization and regulatory developments across various regions are shaping the industry’s trajectory. For instance, in January 2025, the European Union introduced stricter emissions standards for off-road vehicles, accelerating the shift towards cleaner technologies. Similarly, North American markets benefit from government incentives promoting electric power sports vehicles, fostering innovation and sustainability within the sector. Industry stakeholders continue to invest in advanced materials and smart connectivity features to enhance safety, performance, and rider experience.
  
• The COVID-19 pandemic impacted the power sports market in nuanced ways. While initial supply chain disruptions and retail closures created short-term setbacks in 2020, the sector rebounded strongly from 2021 onward. Consumers sought outdoor, socially distanced recreational activities, boosting demand for power sports vehicles. Market players expanded digital sales channels and implemented contactless delivery models to adapt to changing buyer behavior.
  
• Value-added services, including customized financing, maintenance packages, and branded accessories, are becoming significantly competitive differentiators. For instance, in mid-2025, BRP launched a comprehensive subscription-based ownership program in the U.S., integrating vehicle insurance, maintenance, and roadside assistance. This reflects an industry trend toward offering holistic ownership experiences and strengthening customer loyalty through innovative service models.
  
• North America currently dominates the power sports market in terms of volume and revenue, supported by strong consumer demand and well-established dealership networks. Meanwhile, Asia-Pacific is rapidly emerging as a critical growth engine, led by expanding middle-class populations, rising disposable incomes, and increasing participation in recreational motor sports.
  
• Countries like China, India, and Japan are witnessing infrastructure development and regulatory support that encourage both manufacturing and consumption. The gradual regionalization of supply chains and growing cross-border trade agreements offer new avenues for market expansion and localized service offerings.
  

Power Sports Market Trends

• Power Sports is undergoing a transformation driven by electrification, digital integration, and changing recreational preferences globally. Urban consumers, particularly in Asia Pacific and North America, are increasingly turning to electric motorcycles, ATVs, and personal watercraft for both leisure and utility. Manufacturers are responding with lighter, eco-friendly models powered by lithium-ion batteries, regenerative braking, and app-based diagnostics. This is reshaping consumer expectations around performance, sustainability, and smart features.
  
• For instance, in March 2024, BRP announced the launch of the all-electric Sea-Doo Rise in select European and North American markets. The electric watercraft is designed with foldable handlebars, modular hull technology, and mobile app integration, catering to first-time and eco-conscious riders. Its launch marks BRP's broader push toward full electrification of its power sports lineup by 2035.
  
• The trend of digital dealerships and direct-to-consumer platforms is accelerating, especially in post-pandemic economies. OEMs are now investing in virtual showrooms, remote test rides, and mobile-based financing to expand reach in underpenetrated Tier-2 and Tier-3 cities, particularly in India, Brazil, and Southeast Asia. These solutions enhance buyer convenience while optimizing operational costs for manufacturers.
  
• For instance, in June 2024, Yamaha launched its ‘Yamaha GO’ mobile platform in India and Indonesia, offering digital booking, home test rides, instant financing approvals, and integrated service management specifically targeting tech-savvy youth in mid-size urban regions.
  
• As tourism and outdoor adventure rebound post-COVID, off-road vehicle demand is booming. Popular in North America, UAE, South Africa, and Australia, all-terrain vehicles (ATVs) and side-by-sides (UTVs) are becoming essential for eco-tourism and rural mobility. Governments are investing in off-roading trails, and private resorts are adding rental fleets to attract adventure travelers.
  
• In April 2024, Polaris announced a partnership with tourism operators in the UAE and Namibia, providing fleets of electric RANGER UTVs tailored for desert and safari excursions. The initiative supports sustainable tourism and offers Polaris a new B2B revenue stream.
  
• Customization and performance upgrades are emerging as a major aftermarket trend, particularly in North America and Europe. Riders seek personalization through accessories, engine tuning kits, lighting systems, and smart dashboard integrations. E-commerce platforms and certified dealer programs are enabling easier access to these enhancements.
  

Power Sports Market Analysis

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Based on vehicles, the power sports market is divided into side-by-side vehicles, all-terrain vehicles, heavyweight motorcycles, personal watercrafts and snowmobiles. The heavyweight motorcycles segment dominated the power sport market, accounting for around 50% in 2024, selling volume of around 1.9 million units by 2030 and is expected to grow at a CAGR of 6.9% through 2034.

• Heavyweight Motorcycles represent the largest segment in the power sports market, driven by strong demand in North America, Europe, and parts of Asia. These vehicles are favored for their superior performance, long-distance comfort, and premium design, appealing to both recreational riders and touring enthusiasts. Increasing brand loyalty, community engagement (e.g., Harley-Davidson clubs), and a growing shift toward electric variants are fueling further expansion.
  
• OEMs in this segment are integrating advanced technologies such as smart dashboards, GPS connectivity, ABS, and customizable ride modes to enhance rider experience and safety. Additionally, emerging electric heavyweight motorcycles are attracting eco-conscious consumers and urban riders.
  
• For instance, in February 2025, Harley-Davidson’s LiveWire brand launched the S2 Del Mar in Europe and the U.S., an electric motorcycle designed with lightweight alloy frames, fast charging, and app-based performance tracking. It reflects the trend of electrification without compromising on power and brand identity.
  
• Side-by-Side Vehicles (SxS) are gaining rapid popularity across North America, the Middle East, and Australia due to their utility in agriculture, outdoor recreation, and off-road tourism. They offer seating for multiple passengers and cargo capacity, making them ideal for commercial and leisure use. Polaris and Can-Am continuing to dominate this segment with innovations in suspension systems, electric drivetrains, and rugged body designs. Tourism operators in desert and mountainous regions are increasingly deploying SxS fleets for eco-adventure tours.
  
• All-Terrain Vehicles (ATVs) are widely used for both recreational and utility purposes, particularly in rural areas, forests, and farmlands. Their compact size and off-road versatility make them ideal for individual riders. In May 2024, Yamaha expanded its ATV production in Vietnam, focusing on cost-effective models for Southeast Asia, Latin America, and Africa, where ATVs are used for both transportation and agricultural support.
  
• Personal Watercraft (PWC), such as jet skis, are experiencing growing demand in coastal and island tourism hubs. Used for water sports and leisure, PWCs are becoming a staple in resort and rental fleets. Sea-Doo’s innovations in electric watercraft and user-friendly controls are broadening appeal to new riders and tour operators in the Caribbean, Mediterranean, and Southeast Asia.
  
• Snowmobiles, while more geographically limited, remain essential in North America, Nordic countries, and Alpine regions for both recreation and transportation. As climate change influences snow seasons, OEMs are focusing on improving efficiency and adaptability to varied terrains. Arctic Cat and Ski-Doo continue to lead this segment, introducing hybrid models and safety-focused enhancements like avalanche beacons and smart braking systems.
  

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Based on propulsion, the power sports market is segmented into gasoline, diesel and electric. The gasoline segment dominates the market with 75% share in 2024 and is expected to grow at a CAGR of 6.7% from 2025-2034.

• Gasoline-powered vehicles continue to dominate the power sports market, owing to their high-power output, widespread availability, and established fueling infrastructure. Gasoline engines remain the preferred propulsion type for most performance-driven applications across motorcycles, ATVs, side-by-sides, and snowmobiles. Riders favor gasoline models for their superior acceleration, range, and ease of refueling, particularly in remote and recreational environments where electric charging infrastructure is limited.
  
• For instance, in June 2024, Polaris introduced a next-generation gasoline-powered RZR XP, optimized for high-torque off-road driving with enhanced fuel efficiency and suspension control. This release reinforces continued consumer preference for gasoline in high-performance and competitive off-road segments.
  
• Electric propulsion is the fastest-growing segment, driven by increasing environmental concerns, tightening emissions regulations, and technological advancements in battery efficiency. OEMs are actively electrifying their product portfolios to appeal to urban riders, sustainability-conscious consumers, and governments pushing for zero-emission mobility. Growth is especially strong in North America, Europe, and parts of Asia Pacific, where electric infrastructure is improving. It is expected that more than 165 thousand units of EV Power Sports will be sold by 2030.
  
• For example, in March 2025, Yamaha launched the E-Vino 2.0 in Japan and Taiwan, featuring swappable lithium-ion batteries, regenerative braking, and app-enabled range monitoring. These lightweight, city-friendly electric scooters are gaining traction among younger consumers in urban settings.
  
• Diesel-powered power sports vehicles represent a smaller but resilient segment, mainly serving heavy-duty or utility-focused applications such as agriculture, forestry, and defense. Diesel propulsion offers durability and better fuel economy for long operational hours, making it suitable for side-by-sides and ATVs in rural and industrial settings.
  
• In April 2024, Can-Am unveiled a diesel-powered Defender Pro model in Canada and Australia, targeting commercial users needing extended range and towing capabilities in rugged terrain. This vehicle caters to farmers, construction firms, and land managers looking for utility-oriented solutions.
  

Based on application, the power sports market is segmented into recreational, utility, commercial, sports, construction and defense. The recreational segment is expected to dominate.

• The recreational segment holds a dominant position in the powersports market, driven by growing consumer interest in leisure and outdoor activities. Increasing disposable incomes and lifestyle shifts towards health and adventure are fueling demand for recreational vehicles.
  
• Major manufacturers and distributors are focusing on expanding their offerings for recreational use, partnering with retailers and digital platforms to reach enthusiasts efficiently. Companies are investing in specialized dealerships and e-commerce channels to provide personalized experience and convenient access to recreational products.
  
• Leading brands are also enhancing their logistics and after-sales support to ensure timely delivery and maintenance services, especially targeting Tier 2 and Tier 3 markets where recreational activities are gaining popularity. Integration of digital tracking, flexible returns, and warehouse automation is improving overall customer satisfaction.
  
• Meanwhile, other segments such as utility, commercial, sports, construction, and defense exhibit steady growth with specific requirements like durability, compliance with regulations, and tailored functionalities. However, these segments often rely on specialized distribution and service models, unlike the broader consumer-driven recreational segment.
  

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US dominated the power sports market in North America with 80.5% share and generated USD 20.8 billion in revenue in 2024.

• US dominates the power sports market, owing to its strong consumer base, well-established recreational vehicle culture, and extensive off-road and touring infrastructure. The country serves as both a major production hub and a high-demand market for motorcycles, ATVs, side-by-sides, personal watercraft, and snowmobiles. The U.S. also leads in aftermarket customization, motorsports events, and B2B utility vehicle usage across industries such as agriculture, forestry, and defense.
  
• Leading manufacturers such as Polaris, Harley-Davidson, and BRP (U.S. operations) continue to innovate through electric mobility platforms, performance upgrades, and digitally connected riding experiences. For example, in April 2025, Polaris expanded its electric RANGER UTV production in Alabama, launching a new platform aimed at both recreational and commercial users with enhanced battery range, modular cargo options, and real-time diagnostics.
  
• U.S. market dominance is further supported by strong brand loyalty, lifestyle marketing, and widespread dealership and service networks. OEMs are investing in virtual showrooms, online configurators, and mobile-first sales tools to attract younger consumers and grow market share in suburban and rural areas.
  
• The United States also benefits from government and private sector investments in motorsports infrastructure, state park trails, and public-use off-road vehicle areas. Policies that support outdoor recreation and electric vehicle innovation contribute to sustained growth in both urban and remote geographies.
  

The power sports market in Germany is expected to experience significant and promising growth from 2025 to 2034.

• Germany is expected to remain a key market for power sports vehicles in Europe, driven by a strong automotive heritage, high consumer purchasing power, and a well-established culture of motorsports and recreational riding. The demand for premium motorcycles, touring bikes, and electric two-wheelers is particularly strong among both enthusiasts and urban commuters.
  
• Major OEMs such as BMW Motorrad and KTM (with significant operations in Germany) are leading innovation in electric and high-performance segments. For instance, in March 2025, BMW Motorrad unveiled the CE 04 Long Range electric scooter at the Berlin Mobility Show, featuring extended battery capacity, integrated navigation, and smart helmet connectivity targeting both daily riders and younger eco-conscious consumers.
  
• Germany also benefits from advanced infrastructure, including scenic touring routes like the Alpine roads and the Black Forest trails, which continue to drive strong sales of touring and adventure motorcycles. Additionally, motorsport events and riding clubs maintain high engagement across the country.
  
• With a focus on sustainability, regulatory alignment with EU emissions targets, and technological leadership, Germany is positioned as one of the most mature and influential power sports markets in Europe, contributing significantly to regional innovation and export volumes.
  

The power sports market in China is expected to experience significant and promising growth from 2025-2034.

• The power sports market in China is expected to be one of the fastest growing in the Asia Pacific region, supported by strong domestic manufacturing, rising disposable incomes, and a growing preference for outdoor recreational activities. China’s increasing focus on electric mobility, driven by environmental policies and urban consumer demand, is accelerating the shift toward electric motorcycles, ATVs, and personal watercraft.
  
• Leading domestic players such as CFMoto and Loncin are investing in R&D and expanding their product lines, particularly in electric and smart-connected vehicles. For instance, in January 2025, CFMoto opened a new production and innovation facility in Hangzhou, focused on developing high-performance electric power sports vehicles for both domestic use and export.
  
• China’s government continues to support the development of green transportation and outdoor tourism, including the integration of off-road trails and recreational zones under local development plans. These initiatives are creating new demand centers beyond Tier-1 cities, particularly in western and southern provinces.
  
• With a combination of scale, policy support, and evolving consumer preferences, China is set to play a central role in shaping the future growth trajectory of the market across the Asia Pacific region.
  

The power sports market in Brazil is expected to experience significant and promising growth from 2025-2034.

• Brazil is expected to lead the power sports market in Latin America, supported by a large consumer base, diverse terrain favorable for off-road vehicles, and a growing culture of outdoor recreation and motorsports. The country’s expanding middle class and increasing demand for adventure tourism are driving sales of motorcycles, ATVs, and side-by-side vehicles.
  
• Domestic and international manufacturers such as Honda, Yamaha, and BRP have established strong manufacturing and distribution networks in Brazil. For instance, in February 2025, Honda expanded its Manaus plant to include the production of high-displacement motorcycles and off-road models, aimed at meeting both local demand and regional exports.
  
• Brazil’s vast rural and agricultural zones also drive utility-based demand, particularly for ATVs and UTVs used in farming, ranching, and forestry. The government’s rural credit programs and favorable import tax structures are further encouraging adoption.
  
• With a growing aftermarket ecosystem, active motorsports scene, and favorable production base, Brazil is positioned to remain the dominant powersports market in Latin America, serving both recreational and utility applications across the region.
  

The power sports market in Saudi Arabia is expected to experience significant and promising growth from 2025-2034.

• Driven by rising disposable incomes, a youthful population, and a growing interest in adventure sports and desert tourism. Government-led initiatives under Vision 2030 are promoting motorsports, outdoor recreation, and domestic tourism, all of which are fueling demand for motorcycles, ATVs, side-by-sides, and personal watercraft.
  
• Global brands such as Polaris, Yamaha, and Can-Am are expanding their presence through local partnerships and dealerships. For instance, in November 2024, Polaris collaborated with a Saudi tourism company to launch a fleet of electric side-by-sides for guided desert tours in AlUla and the Empty Quarter.
  
• Saudi Arabia’s vast desert landscapes and coastal regions make it ideal for both off-road and marine recreational activities. The rapid development of Red Sea tourism projects, combined with growing interest in luxury and lifestyle vehicles, is increasing sales in both individual and rental markets.
  

Power Sports Market Share

• The top 7 companies in the power sports industry are Polaris, Yamaha, Honda, BRP (Sea-Doo, Ski-Doo, Can-Am), Harley-Davidson, Kawasaki, CFMOTO (Zhejiang CF Motor), contributing around 80% of the market in 2024.
  
• Polaris is leader in the power sports market, offering a broad range of vehicles including ATVs, side-by-sides, snowmobiles, and electric UTVs. Polaris maintains strong distribution and manufacturing in North America, with global expansion focused on tourism, defense, and recreational markets.
  
• For instance, in April 2025, Polaris launched the RANGER XP Kinetic electric UTV in Australia and the UAE, targeting sustainable off-road tourism and commercial sectors. The model features fast charging, high torque output, and digital vehicle diagnostics tailored for rugged conditions.
  
• Yamaha is a major Japanese player with global leadership in motorcycles, ATVs, and personal watercraft. Yamaha has robust production operations across Asia-Pacific and continues to drive innovation in lightweight electric mobility and connected vehicles.
  
• For instances, in February 2025, Yamaha launched the E-Vino 2.0 electric scooter in Taiwan and Japan, integrating swappable batteries and smartphone-based ride analytics, aimed at urban commuters and younger riders.
  
• Honda is a global powerhouse in two-wheelers and power sports, with market dominance in Asia-Pacific and Latin America. Known for quality, safety, and innovation, Honda is expanding its electric portfolio while maintaining a strong presence in recreational and utility vehicles.
  
• For instances, in March 2025, Honda expanded its ATV and off-road motorcycle plant in Thailand, focusing on EV variants and export to the ASEAN and Latin American markets under regional trade agreements.
  
• BRP (Bombardier Recreational Products), headquartered in Canada, owns brands like Sea-Doo, Ski-Doo, and Can-Am, and is a global leader in personal watercraft, snowmobiles, and side-by-side vehicles. For instances, in January 2025, BRP introduced the Sea-Doo Rise, an electric hydrofoil board in France and U.S., targeting eco-conscious recreational users with modular ride settings and wireless controls.
  
• Harley-Davidson is an iconic American brand specializing in heavyweight motorcycles and lifestyle-driven riding culture. It is evolving by investing in electric and mid-weight offerings to attract new demographics. For instances, in March 2025, Harley-Davidson’s electric sub-brand LiveWire launched the S2 Del Mar in Germany and California, featuring rapid acceleration, mobile-based ride customization, and a lightweight alloy chassis.
  
• Kawasaki is a prominent Japanese manufacturer offering high-performance motorcycles, ATVs, and watercraft with a strong following in North America, Europe, and Southeast Asia. For instances, in April 2024, Kawasaki launched its new Ninja 7 Hybrid in the U.S. and Europe, blending gasoline and electric powertrains—marking the industry's first strong hybrid motorcycle in its class.
  
• CFMOTO is a fast-growing Chinese OEM producing motorcycles, ATVs, and UTVs, with a growing export presence in Europe, South America, and Southeast Asia. CFMOTO is known for affordable, technology-rich vehicles and is pushing into the EV segment. For instances, in January 2025, CFMOTO opened a new EV R&D facility in Hangzhou, focused on developing smart, connected electric motorcycles and side-by-sides for global markets, with exports planned for Brazil, Vietnam, and Eastern Europe.
  

Power Sports Market Companies

Major players operating in the power sports industry are:

• BRP
• BMW Motorrad
• CFMOTO
• Harley-Davidson
• Honda
• Kawasaki
• KTM
• Polaris
• Yamaha
• Suzuki Motor
  
• Polaris, Yamaha, and Honda have aggressively gained market share in the power sports market through sustained investment in electrification, brand diversification, and regional product expansion. Polaris, with its strong U.S. presence and innovation in electric off-road vehicles, is leveraging partnerships and public sector contracts (e.g., defense and tourism) to expand into the Middle East and Australia. It continues to lead in the side-by-side and ATV segments, particularly through its RANGER XP Kinetic platform.
  
• Yamaha has adopted a multi-market strategy focusing on Asia-Pacific, North America, and Europe. It is integrating smart mobility with traditional performance, introducing electric scooters like E-Vino and expanding into entry-level power sports vehicles for younger and urban riders. Yamaha’s regional manufacturing in Thailand, Vietnam, and India has helped it respond quickly to demand across Southeast Asia.
  
• Honda, as a global powerhouse, has capitalized on its scale and R&D capabilities, extending its two-wheeler and ATV platforms into rural and urban markets alike. It is expanding its EV mobility offerings through low-cost electric motorcycles and building local manufacturing bases in Latin America and Southeast Asia, maintaining leadership in the motorcycle and quad bike segments.
  

Power Sports Industry News

• In May 2025, KTM AG opened a new R&D and assembly facility in Spain focused on lightweight electric dirt bikes and trials bikes for the European market. The investment supports KTM’s goal to accelerate time-to-market for youth and off-road EV products amid growing regional demand for zero-emission recreational vehicles.
  
• In April 2025, Suzuki partnered with India’s TVS Motor to co-develop electric scooters and quad bikes tailored for Asian and African markets. The collaboration will leverage TVS’s supply chain and Suzuki’s design expertise, aiming to deliver affordable, rugged electric mobility solutions in developing economies.
  
• In March 2025, BMW Motorrad launched the latest M 1000 RR superbike across North America and Europe. Equipped with a 205 hp ShiftCam engine, M Winglets, M Carbon wheels, and ABS Pro, the model is engineered for track racing and high-performance sport riding. This launch highlights BMW’s continued focus on precision engineering and motorsport innovation in the premium superbike segment.
  
• In February 2025, Triumph Motorcycles unveiled its new 675 Engine Platform aimed at midweight motorcycle segments across global markets. Designed for performance optimization and versatility, the platform supports multiple motorcycle applications, from roadsters to sport bikes. The launch marks Triumph’s strategic push to enhance modular engineering efficiency and competitive performance in the mid-capacity motorcycle category.
  
• In January 2025, BRP introduced the updated Sea-Doo Switch pontoon in the U.S. and Australia. Featuring a modular deck design, Rotax 1630 ACE engine, tri-hull stability, and an included trailer, the model is tailored for family recreation and customizable water activities. This release underscores BRP’s strategy to redefine accessible and versatile watercraft experiences for a broader audience.
  

The power sports market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($Bn) and shipment (units) from 2021 to 2034, for the following segments:

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Market, By Vehicle

• Side By Side Vehicle
• All-Terrain Vehicle
• Heavyweight Motorcycle
• Personal Watercrafts
• Snowmobile

Market, By Propulsion

• Gasoline
• Diesel
• Electric

Market, By Application

• Recreational
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile 
• Utility
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile
• Commercial
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile
• Sports
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile
• Construction
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile
• Defense
  • Side By Side Vehicle
  • All-Terrain Vehicle
  • Heavyweight Motorcycle
  • Personal Watercrafts
  • Snowmobile

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina 
• MEA
  • South Africa
  • Saudi Arabia
  • UAE