Electric Outboard Engines Market Analysis

Electric Outboard Engines Market Analysis

Based on power, the below 25kw segment was worth over USD 761.19 billion in 2023 and is expected to reach USD 1.3 trillion by 2032. Below 25KW are preferred due to the environmental consideration. The electric outboard engines are more environmentally friendly and produce less emissions as compared to other engines. Additionally lower powered electric engines are more affordable making them ideal for budget conscious individuals further increasing the demand of below 25 KW in the electric outboard engines market.
 

Based on application, the recreational segment accounted for a market share of 76.58% in 2023 and is anticipated to grow at a CAGR of 6.1% during 2024 to 2032. Recreational application is dominating due to the increased environmental concerns in many regions. There is a growing awareness and concern about the environmental impact thus leading to recreational boating where engines contribute. Electric engines are ideal alternatives to deal with environmental pollutants. These engines are preferred due to the lesser noise during operations and there have been a technological advancement allowing electric engines to be more durable and give better performance.
 

North America electric outboard engines market size surpassed USD 498.96 billion in 2023 and is likely to exceed USD 819.96 billion by 2032. Country such as U.S and Canada has a recreation boating sector. North America embraces new technologies as per the changing environmental regulations further increasing the demand for electric outboard engines in the North America region. Additionally North America region has leading manufacturers like Yamaha and Torqeedo who are heavily investing in research and development to come up with advanced technological solutions to cater the growing demand of electric engines market.
 

Country Level Analysis

North America: In terms of country, the US is dominating with the overall market share of 78.7% in the North America electric outboard engines. One of the most significant drivers of the US market growth is recreational boating activities happening in the region creating a demand for electric outboard engines. Additionally, the region has growing awareness about environmental regulations encouraging industries to adopt ecofriendly options.
 

On the other hand, Canada electric outboard engines market expressing notable growth rate of around 21.3% in 2023. North America had stringent environmental regulators encouraging manufactures to come up with environmentally friendly outboard engines which emit lower emissions and are more fuel efficient.
 

Europe: The Europe electric outboard engines market was valued at around USD 168.21 billion in 2023 and is anticipated to register a CAGR of 5.9% between 2024 to 2032. Europe has wide waterways and coastlines increasing the demand for water sports activities. To cater for the demand of water activities in the region electric engines are being preferred due to their noise reduction and lower environmental impact. In terms of country, Germany is dominating the Europe market in terms of market value of around USD31.96 billion in 2023.
 

Asia Pacific: The Asia Pacific electric outboard engines market was valued at around USD 117.32 billion in 2023 and is anticipated to register a CAGR of 8.2% between 2024 to 2032. The growth can be attributed to several factors, including growing rapid economy leading to a higher disposable income of individuals driving towards recreational boating and water activities. Moreover, the government is promoting environmental regulations and electric engines and vehicles further increasing the adoption of electric engines in the region.
 

In terms of country China is dominating the Asia Pacific electric outboard engines market in terms of market value around USD 37.73 billion in the year 2023 and expected to reach around USD 78.48 billion by 2032. China is known as a global manufacturing home. Manufacturers are levering in experimenting with battery technology and electric systems to deliver high performance engines.
 

On the other hand, India is emerging as a fastest growing country for the electric outboard engines market in terms of CAGR of 8.8% between 2024 to 2032. Rising air pollution and increasing air borne infection in the country is the major factor boosting the cleaner technologies. India is focusing on renewable energy to meet its climate goals. As a result, various sectors in India are shifting towards ecofriendly solutions to overall contribute to the initiatives by the country.