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Global UTV Market size worth over $15 Bn by 2032
- Published Date: November 24, 2022
Utility Terrain Vehicle Market size is set to surpass USD 15 billion by 2032, according to a new research report by Global Market Insights Inc. Rising R&D investments and practices focused on leveraging cutting-edge technologies and developing innovative products with minimal environmental impact will propel the overall industry growth. Traditional fuel-based vehicles produce excessive sound and cause harmful carbon and GHG emissions, resulting in detrimental environmental impact.
The growing ecological concerns have encouraged vehicle manufacturers globally to undertake necessary initiatives and accelerate their shift toward electrically propelled mobility. For instance, in August 2022, Volcon collaborated with GM and announced that all of its upcoming off-road UTVs would be powered by GM propulsion systems to accelerate EV adoption. The company also noted that its recently launched Stag UTV would be using battery cell modules and several supporting components from GM to offer exceptional speed recovery and acceleration in a variety of terrain.
Lower operating costs to boost the adoption of above 800cc UTvs
In terms of displacement, the above 800cc segment recorded more than 53% of the UTV market share in 2022. Utility Terrain Vehicles with above 800cc displacement engines have a high load-bearing capacity and involve lower operating costs while transporting goods over short distances. Besides, their capability to work efficiently under extreme environments will foster the adoption of above 800cc utility terrain Vehicles.
Ability to operate through tough terrains to bolster product demand in military applications
The military applications segment is expected to grow at over 5.5% CAGR through 2032. Across the military sector, UTVs are utilized for a number of applications carrying staff, troops, supplies, (mounted) weapons, evacuating wounded soldiers, and many more. They can operate in harsh environments and rough terrains and are known for their high payload capability, enhanced safety, and performance. An increasing number of forces focusing on boosting their military capabilities will augment the demand for UTVs in the military & defense sector.
Browse key industry insights spread across 250 pages with 324 market data tables & 23 figures & charts from the report, “Utility Terrain Vehicle (UTV) Market Size By Displacement (Below 400 cc, 400 – 800 cc, Above 800 cc), By Application (Utility, Sports, Recreation, Military), By Propulsion Type (Gasoline, Diesel, Electric), COVID-19 Impact Analysis, Growth Potential, Regional Outlook, Competitive Market Share & Forecast, 2023 – 2032”, in detail along with the table of contents:
Lower upfront costs to proliferate the sales of gasoline-propelled UTVs
In terms of propulsion type, the gasoline segment is anticipated to reach nearly USD 111 billion by 2032. Gasoline-propelled UTV models often involve high maintenance costs, which may hamper their sales during the forecast period. However, on the flip side, the low initial purchase costs associated with these vehicles make them a preferred alternative to their diesel counterparts, which may increase the segment share in the forthcoming years.
Increasing leisure expenditure to drive product adoption across the Asia Pacific
Asia Pacific UTV market held over 12% revenue share in 2022. The regional expansion is backed by the consistent rise in income levels and the increasing consumer inclination toward outdoor leisure activities. The region is recognized by a robust competitive landscape comprising players such as Yamaha, Suzuki, Honda, etc., and the prominence of recreational parks and off-road trails.
New product development remains the major growth tactic
Prominent companies in the UTV industry include Polaris Industries, Honda Motors, Yamaha Motor Corporation, Kawasaki Motors Corporation, and BRP. These leaders have been focusing on developing advanced products with unmatched capabilities in the market as part of their growth strategy. For instance, in March 2021, Polaris unveiled an electric UTV Ranger EV with an autonomous front suspension system, which significantly enhanced the cornering capabilities, ride quality, stability, and minimized body roll.