Inboard Engines Market Size - By Product Type (Diesel, Electric, Gasoline), By Power (Low, Medium, High), By Application (Recreational Boats, Commercial Boats), By Ignition (Electric, Manual), By Engine (IC Engine, Electric Engine) & Forecast, 2024 - 2032

Inboard Engines Market Size

Inboard Engines Market was valued at around USD 1.5 billion in 2023 and is estimated to register a CAGR of around 6.4% between 2024 and 2032.
 

The need for inboard engines is being driven by the growing popularity of recreational boating activities including fishing, watersports, and cruising, particularly in areas with many water bodies and a strong maritime culture. Further, consumer expenditure on leisure activities, such as recreational boating, is driven by economic prosperity and rising levels of disposable income in emerging nations.
 

The installation of inboard engines can be labor-intensive and complex, requiring specialized equipment and trained specialists, and can lead to increased time and expenses. The demand for inboard engines is hampered since they need routine maintenance, such as oil changes, winterization, and servicing, which can result in extra expenses for boat owners over the product’s lifetime.
 

Inboard Engines Market Trends

Strong and dependable inboard engines are required for passenger ferries, tour boats, and other commercial vessels due to the growing demand for marine transportation services. The UN Trade and Development Analysis projected that Maritime Trade would increase by 2.4% in 2023 and by CAGR over 2% between 2024 and 2028. Furthermore, the integration of digitalization, the Internet of Things (IoT), and connection elements into inboard engine systems facilitates improved customer value propositions and increased operational efficiency, performance monitoring, and maintenance, propelling market expansion.
 

Inboard Engines Market Analysis

Based on product type, the diesel segment was crossed USD 900 billion in 2023 and is projected to surpass USD 1.5 billion by 2032. Diesel engines work well in applications where high pulling and hauling capacities are needed such as heavy cargo transportation, commercial fishing, and towing operations. Due to their dependability and torque output, they are essential for these jobs, thereby fueling market demand.
 

Based on application, the recreational boats segment accounted for around 65% market share in 2023 and is likely to exceed 66% by 2032. Recreational boating includes sailing, fishing, wakeboarding, waterskiing, and overnight excursions, among other activities. varied boat types with inboard engines may be needed for each of these activities, which may increase demand for varied engine sizes and configurations. For boats used for watersports like wakeboarding, waterskiing, and tubing, inboard engines are a common option. Professionals in watersports and towing will find them ideal due to their high torque production and steady speed and power retention.
 

North America region held approximately 26% share of the inboard engines market in 2023 and will reach USD 700 million by 2032. Millions of individuals in the region engage in recreational boating activities including sailing, fishing, cruising, and watersports. This fuels the market for inboard engine-powered vessels including cruisers, sports boats, and yachts. Ongoing developments in inboard engine technology, such as variable valve timing, electronic fuel injection, and digital engine management systems, improve performance, dependability, and fuel economy, thereby increasing the demand for updated engine models and predicts business demand.
 

Country-level Analysis

The U.S. dominated the North America inboard engines market with revenue of over USD 0.3 billion in 2023 and is expected to grow at a CAGR of 6.5% during the forecast period. With more individuals engaging in boating activities including sailing, fishing, watersports, and cruising, the country features a thriving boating culture and way of life. This shared cultural background fuels the market for a variety of inboard-engine boats. Inboard engines are used in a wide variety of boats, ranging from small runabouts to opulent yachts, and the U.S. has one of the biggest recreational boating marketplaces in the world. The necessity to power these boats for recreational and leisure uses drives the demand for inboard engines.
 

Germany dominated the Europe inboard engines market with revenue of around USD 0.08 billion in 2023 and is expected to grow at a CAGR of 6.7% from 2024 to 2032. Marine engines are subject to strict pollution norms and environmental laws in Germany. The necessity to abide by these rules is spurring the introduction of cleaner and more fuel-efficient inboard engine technologies such as electric propulsion systems and diesel-electric hybrids. For example, EU laws aiming at decreasing emissions of air pollutants, such as nitrogen oxides (NOx), Particulate Matter (PM), and sulfur oxides (SOx), apply to inboard engines used in recreational and commercial boats.
 

China dominated the Asia Pacific inboard engines market with revenue of around USD 200 million in 2023 and is predicted to hit USD 400 million by 2032. Fishing, transportation, aquaculture, and offshore energy are a few of the industries that make up China's expanding marine economy. Product demand is fueled by inboard engines’ role in powering ferries, fishing boats, and other maritime applications. Many options for recreational boating and marine tourism are available in China's internal waterways and coastal locations, particularly in well-known tourist locations. The growth of marinas, resorts, and waterfront infrastructure increases the demand for boats with inboard motors.
 

Inboard Engines Market Share

The inboard engines industry is fragmented, with several regional companies operating on a global scale. In 2023, Caterpillar Inc, Cummins Inc., Volvo Penta, Rolls–Royce plc, and Mitsubishi Heavy Industries led the market. To expand their customer base, broaden their product offerings, and establish a stronger foothold in the market, these corporations strategically deploy mergers, acquisitions, partnerships, and facility expansions. They also leverage their vast distribution networks and resources to investigate new markets.
 

Inboard Engines Market Companies

Major players operating in the inboard engines industry are:

• Caterpillar Inc.
• Crusader Engines
• Cummins Inc.
• Ilmor Engineering, Inc.
• Indmar Marine Engines
• MAN Energy Solutions
• Mercury Marine
• MTU Friedrichshafen GmbH
• Nanni Industries
• PCM (Pleasurecraft Marine Engine Co.
• Scania AB
• Suzuki Motor Corporation
• Volvo Penta
• Yamaha Motor Co., Ltd.
• Yanmar Co., Ltd.
   

Inboard Engines Industry News

• In August 2022, the company Cummins Inc. Completed the acquisition of Meritor, which will accelerate the development of economically viable decarbonized powertrain solutions. Meritor also delivers complementary synergies to our core business by expanding our product offerings, sales and service network and customer relationships.
   
• In February 2021, the company Caterpillar completed the acquisition of varying equity interests and assets of the Weir Group PLC, collectively known as SPM Oil & Gas (SPM). Headquartered near Fort Worth, Texas, SPM Oil & Gas produces a full line of pumps, flow iron, consumable parts, wellhead, and pressure control products that are offered via an extensive global network of service centers.
   

This inboard engines market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD Billion) and volume (Million Units) from 2021 to 2032, for the following segments:

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Market, By Product Type

• Diesel
• Electric
• Gasoline
• Others

Market, By Power

• Low
• Medium
• High

Market, By Ignition

• Electric
• Manual

Market, By Engine

• IC engine
  • Two-stroke
  • Four-stroke
• Electric engine

Market, By Application

• Recreational boats
• Commercial boats

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

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
  • Malaysia
  • Indonesia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America 
• MEA
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA