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U.S. Off-Road Vehicles Market Size - By Vehicle (ATV, SSV/UTV, Off-Road Motorcycles, Snowmobiles), Propulsion Type (Gasoline, Diesel, Electric), Application (Utility, Sports, Recreation, Military), Growth Prospects, Regional Outlook & Forecast 2023 - 2032

  • Report ID: GMI3074
  • Published Date: Sep 2023
  • Report Format: PDF

U.S. Off Road Vehicles Market Size

U.S. Off-Road Vehicles Market size was valued at USD 10.6 billion in 2022 and is anticipated to register a CAGR of 7.5% between 2023 and 2032, led by favorable government initiatives promoting the shift toward electric mobility. Policies that promote environmental sustainability, safety, and recreational access can spur innovation and growth. For instance, incentives for electric off-road vehicles can drive the adoption of eco-friendly models.

U.S. Off-Road Vehicles Market

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To that end, Dean Phillips, Minnesota Congressman, introduced a bipartisan bill, H.R. 9481, in the U.S. House of Representatives in December 2022. Named the Michael F. Donoughe Tax Credit for Off-Road Electric Vehicles Act, it proposes a federal tax credit of 10 percent, up to $2,500, for the purchase of new, qualifying, plug-in electric off-road vehicles. The bill has been referred to the House Ways and Means Committee as of December 23, 2022. Investments in trail development and maintenance enhance the off-roading experience. Moreover, safety regulations and education campaigns can encourage responsible off-roading, ensuring a sustainable and secure future for the industry while providing economic benefits to local communities.

Stricter environmental regulations, particularly related to emissions and noise pollution, can pose challenges for manufacturers in the off-road vehicles market. For example, the Clean Air Act sets standards for air quality and regulates emissions from vehicles and industrial facilities. Likewise, the Noise Control Act regulates noise pollution from aircraft, vehicles, and other sources. Control Act Compliance with these regulations often requires expensive engineering solutions, which can drive up the cost of vehicles and limit their availability.

On the other hand, innovations in off-road vehicle technology, including enhanced safety features, improved engine performance, and smart connectivity options, have attracted consumers and businesses looking for efficiency and convenience, favoring market dynamics.

For instance, In August 2023, Honda unveiled three new ATV models in the United States, alongside the introduction of two highly popular miniMOTO models, namely the Monkey and the Super Cub C125. Among the new ATV offerings, Honda's refreshed lineup features the FourTrax Recon, the TRX250X, and the TRX90X. Specifically designed for farm use and navigating trail obstacles, the FourTrax Recon is equipped with a 229-cc engine and an Electric Shift Program transmission with a convenient push-button shifter.

COVID-19 Impact

The COVID-19 pandemic had a mixed impact on the U.S. off-road vehicles market. Initially, sales of recreational off-road vehicles dipped as consumer spending decreased due to economic uncertainty. However, as the pandemic continued, there was a surge in demand for off-road vehicles as people sought outdoor recreational activities that allowed for social distancing. Additionally, the pandemic disrupted supply chains, causing temporary production delays and supply shortages for some manufacturers. Overall, the market adapted to changing consumer preferences and continued to see growth, particularly in the latter stages of the pandemic.

U.S. Off-Road Vehicle Market Trends

The trend towards electric off-road vehicles, including electric all-terrain vehicles (eATVs) and electric utility task vehicles (eUTVs), was gaining momentum. Consumers and manufacturers alike were becoming more interested in electric off-road options due to their quieter operation, lower emissions, and potential for reduced operating costs.

For instance, in August 2022, Volcon announced to use General Motors' proven & tested electric propulsion systems in all its off-road UTVs. This includes Volcon Stag, the company's flagship UTV unveiled to the public in July 2022. As Volcon is committed to improving its off-road vehicle performance and sustainability, this agreement will help bring the power of EVs to more people faster.

U.S. Off-Road Vehicle Market Analysis

U.S. Off-Road Vehicle Market Size, By Vehicle, 2021-2032, (USD Billion)

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The UTV segment held over 60% of the U.S. off-road vehicle market share in 2022, due to increasing recreational activities. The strong presence of established industry players and the launch of technically advanced products in the U.S. will further complement the growing market. For instance, in August 2022, Arctic Cat announced its 2023 lineup of off-road vehicle models. The product line-up includes the Alterra, Wildcat, and Prowler UTV models. This launch emphasizes the company’s strategic focus on R&D and new product developments.

U.S. Off-Road Vehicle Revenue Market Share, By Application, 2022

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The recreation segment accounted for 36% of the U.S. off-road vehicle market share in 2022, driven by the country's vast and diverse landscape, which offers numerous opportunities for outdoor adventure. Off-road enthusiasts are drawn to the thrill of exploring rugged terrains, including trails, forests, deserts, and mountains. Additionally, recreational off-roading aligns with the desire for socially distanced outdoor activities, particularly in the wake of the COVID-19 pandemic. The versatility and adrenaline rush offered by off-road vehicles, such as all-terrain vehicles (ATVs) and side-by-sides, make them a favored choice for individuals and families seeking exhilarating recreational experiences in the great outdoors.

 Texas Off-Road Vehicle Market Size, 2021-2032 ( USD Billion)

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Texas off-road vehicle market recorded more than 10% of revenue share in 2022, led by the vast and varied landscapes across the state, ranging from deserts and dunes to forests and ranchlands. The state's extensive network of off-road trails and parks provides ample opportunities for enthusiasts to explore and enjoy outdoor adventures. Texas hosts numerous off-road events and rallies, such as the Rednecks with Paychecks Off-Road, attracting thousands of participants annually. Additionally, the state's strong ranching and agricultural sectors utilize off-road vehicles for practical purposes, further fueling the demand for off-road vehicles in Texas.

U.S. Off-Road Vehicle Market Share

Major companies operating in the U.S. off-road vehicle market are:

  • Artic Cat
  • Bombardier Recreational Products (BRP)
  • Hisun Motors
  •  Honda Motor Co. Ltd.
  • Kawasaki
  •  KTM AG
  •  Polaris Inc 
  • Zero Motorcycles.

Polaris is major companies in U.S. off-road vehicles industry, holding around 30% of the market share. The company is highly focused on investing resources in product safety and quality to ensure complete customer satisfaction. It has developed its patented product designing and testing processes, which include the ‘Dynamic Stability and Handling’ test method to ensure the safety of its products. The company is also committed to providing its customers with resources and tools that demonstrate proper vehicle use and educate on safe riding practices.

U.S. Off-Road Vehicle Industry News:

  • In June 2023, Polaris Inc. disclosed its reception of a $700,000 grant focused on facilitating the establishment of an electric vehicle (EV) charging infrastructure tailored for off-road vehicles. This initiative will be implemented within a public off-road trail system in Michigan's Upper Peninsula. The grant originates from the Mobility Public-Private Partnership & Programming (MP4) Grant, part of the Michigan Office of Future Mobility & Electrification's efforts to bolster the state's mobility sector, including the outdoor recreation industry, through the adoption of electric and tech-enhanced vehicles.
  • In June 2023, Kawasaki Motors Corp., U.S.A., is delighted to announce the extension of its partnership with TrueTimber. Starting from the 2024 model year, TrueTimber will hold the exclusive role as the provider of camouflage patterns for a range of Kawasaki models, including the newly introduced Kawasaki MULE PRO-FXT™ 1000.

This U.S. off-road vehicle market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) and shipment (Units) from 2018 to 2032, for the following segments:

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Market, By Vehicle

  • UTV
  • ATV
  • Snowmobile
  • Off-Road Motorcycle

Market, By Propulsion Type

  • Gasoline
  • Diesel
  • Electric

Market, By Application

  • Utility
  • Sports
  • Recreation
  • Military

The above information has been provided for the following states:

  • U.S.
    • Alabama
    • Alaska
    • Arizona
    • Arkansas
    • California
    • Colorado
    • Florida
    • Georgia
    • Idaho
    • Illinois
    • Indiana
    • Iowa
    • Kansas
    • Kentucky
    • Louisiana
    • Maine
    • Michigan
    • Minnesota
    • Mississippi
    • Missouri
    • Montana
    • Nebraska
    • Nevada
    • New Mexico
    • North Carolina
    • North Dakota
    • Ohio
    • Oklahoma
    • Oregon
    • Pennsylvania
    • South Carolina
    • South Dakota
    • Tennessee
    • Texas
    • Utah
    • Virginia
    • Washington
    • West Virginia
    • Wisconsin
    • Wyoming


Authors: Preeti Wadhwani

Frequently Asked Questions (FAQ) :

The market size for off-road vehicle in the U.S. reached USD 10.6 billion in 2022 and is set to witness 7.5% CAGR between 2023 and 2032, due to the favorable government initiatives for promoting the shift toward electric mobility in the country.

The recreation application segment held over 36% of the market share in 2022, owing to the vast and diverse landscape offering numerous opportunities for outdoor adventure in the country.

Texas garnered over 10% share of the U.S. off-road vehicle market in 2022, attributed to the vast and varied landscapes across the state, ranging from deserts and dunes to forests and ranchlands.

Some of the major off-road vehicle providers in the U.S. include Artic Cat, Bombardier Recreational Products (BRP), Hisun Motors, Honda Motor Co. Ltd., and Kawasaki.

U.S. Off-Road Vehicles Market Scope

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Premium Report Details

  • Base Year: 2022
  • Companies covered: 13
  • Tables & Figures: 469
  • Countries covered: 1
  • Pages: 200
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