Electric ATV and UTV Market To Generate Revenue Worth $3,845.3 Million by 2030
- Published: August 2022
The global electric ATV and UTV market revenue is set to reach $3,845.3 million by 2030, advancing at a CAGR of 20.7% during 2021–2030. The increase in the demand for ATVs is largely driven by their growing use for recreational, tourism, and outdoor activities. Additionally, UTVs are used for a wide range of applications, such as agriculture, industrial, construction, and forestry.
Furthermore, governing bodies across the globe are adopting strict measures to cut carbon dioxide emissions. In this direction, governments have set goals for outlawing ICE vehicles, while also investing in infrastructure development and offering subsidies to promote electric vehicles, which will accelerate the growth of the electric ATV and UTV market in the years to come.
Demand for Electric UTV Is Growing at Higher Pace
The UTV category held an about 59% global electric all-terrain vehicle and utility-terrain vehicle market revenue share in 2021, and it is set to witness the higher growth rate, of about 22.4%, in the coming years. The demand for electric UTVs is driven by their lower operating costs for moving cargo over short distances and their ability to operate efficiently in challenging conditions. When compared to their gasoline and diesel counterparts, electric vehicles often have a higher torque. Further, since there are fewer moving parts in electric UTVs, their maintenance cost is also lower than ICE variants.
Europe Stands at Second Position in Term of Revenue
Geographically, Europe held the second-largest share of the global UTV market revenue in 2021. The rise in agricultural and landscaping activities has driven the adoption of ATVs and UTVs in Germany in the past few years. Many nature parks now utilize these vehicles for horticulture, herding, and cutting. Hence, many manufacturers are introducing new lines of ATVs and UTVs with advanced technologies, which is expected to improve the demand for all-terrain vehicles in the European market.
Moreover, North America accounts for the largest market share because of the expanding popularity of adventure sports and leisure activities, as well as the rising demand for ATVs and UTVs in military applications.
Some of the major players operating in the electric ATV and UTV market are Polaris Industries Inc., Honda Motor Co. Ltd., Bombardier Recreational Products Inc., Yamaha Motor Co. Ltd., Arctic Cat, John Deere, Club Car LLC, HISUN Motors Corporation, CFMOTO, and LINHAI Group Co. Ltd.