Product Code: 70284
The small gas engine market is expected to grow at a CAGR of more than 3 % throughout 2020-2025. Factors such as rise in the construction industry and power equipment rental for outdoor power applications are likely to propel the small gas engine market during the forecast period. Moreover, as small gas engines come under low-displacement engines (20-650 cc), various motor automobiles such as go-karts, all-terrain vehicles (ATVs), scooters, and motorcycles are expected to drive the market. However, new technical avenues, such as micro-hybridization engines, biofuels engines, are adopted by the major manufacturers that are likely to hinder the small gas engine market in the coming future.
- The growth of the commercial and residential construction activities surges the demand for outdoor power equipment, which are expected to dominate the small gas engines market owing to nominal maintenance costs and reduced product costs.
- Due to emission legislation, the major manufacturers are investing in small gas engines for motor automobiles, construction equipment, and various application, which is likely to provide ample opportunity for small gas engines market in coming future.
- Asia-Pacific has dominated the small gas engine market, with the majority of the demand coming from China and India.
Key Market Trends
Commercial End-User Application to Dominate the Market
- A gas engine is an internal combustion engine that runs on natural gas, or other gases, such as coal gas, producers' gas, biogas, and landfill gas. Additionally, higher flexibility and quick-startup of the gas engine are resulting in a shift from other drivers to gas engines among the commercial and residential operators, especially in small size capacity range (20 - 640 cc) in recent times.
- In recent years,s due to the advancement of technology, the dominant company is investing and adopting advance small gas engines due to nominal maintenance costs and reduced product costs. In 2018, Alfa Laval introduced Aalborg Micro, which uses waste heat to provide thermal power between 250 kW and 5,000 kW. Aalborg Micro is likely to installed outdoors or indoors and vertically or horizontally and capable of functioning with the use of LNG.
- Moreover, the demand for outdoor power equipment is foreseen to influence the small gas engines market for gardening, lawnmowers, among other end uses such as construction, commercial, residential sector.
- Furthermore, small gas engines are implemented in various applications such as snow removal, lawn care, and lawn renovation, concrete mixers, generators, etc. The small gas engine helps in providing eco-friendly energy to various applications. The increasing number of construction activities and concerns related to the environment and economy of the project is expected to drive the small gas engine market during the forecast period.
Asia-Pacific to Dominate the Market
- Small gas engines are small-displacement, low powered internal combustion engines generally used for power generation for small power capacity applications (20 - 640 cc).
- The significant factors driving the growth of the global small gas engines market include an increase in the construction industry, along with the rising demand for outdoor power equipment rental.
- Rising industrialization and urbanization in the region are leading to the growth of the construction sector. For instance, according to the India Brand Equity Foundation (IBEF), India has a requirement of investment worth USD 777.73 billion in infrastructure by 2022, along with increasing FDI inflows in the country. These factors would increase the use of small gas engines in the construction sector.
- Moreover, the countries in the region are investing heavily in the construction of smart and green buildings. This would lead to the need for lawns or gardens to be maintained near buildings. The landscaping services business will also create demand for outdoor powered equipment. As the small gas engine offers low maintenance cost, outdoor power equipment is expected to be frequently rented and gain a lot of attention from homeowners. The majority of builders, contractors, or homeowners in this region prefer cost-effective power equipment.
- This, in turn, is likely to drive the small gas engine market in Asia-Pacific during the forecast period.
The small gas engine market is fragmented. Some of the key players in this market include Briggs & Stratton Corporation, Kohler Co., Honda Motor Co., Ltd., Yamaha Motor Corp., Kawasaki Heavy Industries, Kubota Corporation, Liquid Combustion Technology, Kipor Power, Champion Power Equipment and others.
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Table of Contents
- 1.1 Scope of the Study
- 1.2 Market Definition
- 1.3 Study Assumptions
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Market Size and Demand Forecast in USD billion, till 2025
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
- 4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.2 Restraints
- 4.6 Supply Chain Analysis
- 4.7 Porter's Five Forces Analysis
- 4.7.1 Bargaining Power of Suppliers
- 4.7.2 Bargaining Power of Consumers
- 4.7.3 Threat of New Entrants
- 4.7.4 Threat of Substitutes Products and Services
- 4.7.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
- 5.1 End-User
- 5.1.1 Residential
- 5.1.2 Commercial
- 5.1.3 Industrial
- 5.1.4 Construction
- 5.1.5 Others
- 5.2 Geography
- 5.2.1 North America
- 5.2.2 Asia-Pacific
- 5.2.3 Europe
- 5.2.4 South America
- 5.2.5 Middle-East and Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
- 6.3 Company Profiles
- 6.3.1 Briggs & Stratton Corporation
- 6.3.2 Kohler Co.
- 6.3.3 Honda Motor Co., Ltd.
- 6.3.4 Yamaha Motor Corp.
- 6.3.5 Kawasaki Heavy Industries
- 6.3.6 Kubota Corporation
- 6.3.7 Liquid Combustion Technology
- 6.3.8 Kipor Power
- 6.3.9 Champion Power Equipment
7 MARKET OPPORTUNITIES AND FUTURE TRENDS