ID: MRFR/AM/9200-HCR | 188 Pages | Published By Swapnil Palwe on March 2023
The Global Amphibious ATV Market Size is expected to cross USD 4.99 billion by 2030 at a CAGR of 10.18% during the forecast period ending in 2030
The Global Amphibious ATV Market Size is expected to cross USD 4.99 billion by 2030 at a CAGR of 10.18% during the forecast period ending in 2022- 2030.
Professionals, and people in general, use amphibious all-terrain vehicles when traveling through muddy, swampy, and waterlogged areas. They can even travel underwater with these vehicles. The global defense industry uses these vehicles the most because of their waterproof properties. That said, many private companies use these vehicles. The general population also uses these vehicles when playing water sports or traveling through wet areas.
Global tourism is rebinding now that a vaccine and booster shots for COVID-19 have been developed. Ideally driven consumers followed by their disposable income expansion has prospects in store for the tourism market. The tourist sector is one of the world’s fastest-growing and economically expanding sectors. Modern tourism is very water-intensive. It is especially true in The Asia-Pacific region and the European Union. It’s also true in North America. In these regions, water sports and adventures as a form of tourism have become popular. Hence, the global demand for amphibious all-terrain vehicles has increased rapidly. Many government agencies are encouraging water tourism around the world. The European Travel Commission and the European Tour Operators Association Limited are good examples. They’re also lowering taxes that are associated with water tourism.
The growth of the vendors is dependent on market conditions, government support, and industrial development. Thus, the vendors should focus on expanding their presence and improving their services. ARGO(Canada), Hydratrek (US), Mudd-Ox Inc. (Indiana), Terra Jet (US), and Sherp (Ukraine)are some of the key players operating in the global market. These companies compete in terms of availability, quality, price, and technology and consider product development as their key strategy in the global amphibious ATV market. Although the international players dominate the global market, regional and domestic players with small shares also have a significant market presence. The international players may strengthen their presence in the amphibious ATV market by heavily investing in product development during the study period.
ARGO (Canada), Hydratrek (US), Mudd-Ox Inc. (Indiana), Terra Jet (US), Sherp (Ukraine), Tinger (Russia), Gibbs Technologies Limited (UK), and MaxATVs(Australia)are the key players operating in the global market.
Commercial amphibious ATV manufacturers have developed technologically superior amphibious vehicles to meet the spike in demand from the commercial sectors as water transportation and water sports have grown in popularity.Furthermore, the increased use of amphibious vehicles in various business activities such as land reclamation, excavation, water mud removal, canal-building, and others is driving up demand for amphibious ATVs. This element has a positive impact on the amphibious ATV market's growth. For example, in December 2018, Chennai Municipal Corporation, India, announced plans to buy new amphibious equipment, a mini-amphibian, and amphibious robotic excavators to clean smaller water bodies under Swachh Bharat Mission (SBM).
Leading countries in the region such as the US, Russia, China, Saudi Arabia, and India are strengthening the defense sectors by heavily investing in the procurement and development of advanced military systems. In addition, as the concerns about border security and terrorism grow, growing economies around the world are updating their traditional defense equipment and systems to combat the threat.Furthermore, amphibious ATVs comprise robust engines providing high speed and power in allterrains. Additionally, these vehicles are reliable, versatile, can be equipped with guns & ammunition, and offer high performance during battlefield operations. Hence, countries across the globe are looking forward to procuring these vehicles to strengthen their defense systems. This, in turn, fuels the demand for the amphibious ATVs market. For instance, as per Stockholm International Peace Research Institute (SIPRI), military spending by the US grew by 5.3% to a total of USD 732 billion in 2019 and accounted for 38% of global military spending. Additionally, in 2019, China was the second-largest military spender,spending about USD 261 billion, a 5.1% increase compared with 2018.
The adoption of advanced technology-based systems & equipment in amphibious vehicles increases the initial cost of the vehicle. The vehicles’design can be customized as per the applications. Thus, the systems used in the ATV must be compatible with both land and water terrains, leading to high expenditure. Additionally, the engine used in these vehicles is different from the engine used in the land-operated vehicles and has to be specially designed to operate on land and water. These factors increase the initial cost of the ATVs, and thus, are expected to restrict the growth of the amphibious ATV market.
According to the World Travel & Tourism Council, the tourism sector has witnessed continuous growth and is one of the fastest-growing economic sectors. Modern tourism is linked to the development of adventure water sports across Europe, Asia-Pacific, and North America. The emergence of adventure tourism has been leading to increasing investments in this sector. Such trends have made tourism one of the key factors fueling the demand for amphibious ATVs.
Various government organizations, such as the European Tour Operators Association Ltd, European Travel Commission, German Tourism Association, and European Travel Agents’ and Tour Operators’ Association, are taking various initiatives to increase the number of tourists and reduce taxes associated with tourism. Such initiatives are focused on encouraging investors in the tourism industry to capitalize on the increased demand for tourism.Thus, the growing demand foramphibious ATVs, especially in the tourism sector, is likely to create a growth opportunity for the players operating in the global amphibious ATV market during the forecast period.
The global amphibious ATV market has been segmented based on type and application.
Based on type, the global amphibious ATV market has been segmented into 6x6 and 8x8.The 6×6 Amphibious ATV is known for its agility and has superior maneuvering capabilities. This is suitable for off-road conditions.The 6×6 amphibious vehicle is designed for remote access travel for 2–4 people andis perfect for use as a runabout utility vehicle with room for tools and equipment on the cargo deck. However, the 8x8amphibious ATVhas a rear cargo bed for material and/or persons.This is an all-wheel-drive, and it can operate with or without tracks.
By application, the global amphibious ATV market is segmented into personal and commercial.The Amphibious ATVs are applicable for personal use such as water crossings such as creeks, canals, ditches, ponds, lakes, rivers, or flooded areas from heavy rains. Amphibious ATVs are very useful in commercial applications such as surveillance & rescue, water transportation, sports, and excavation.
Based on region, the report on the amphibious ATV market has been divided into North America, Europe, Asia-Pacific, and the rest of the world.
North America has witnessed an increase in the sale of all-terrain vehicles. The growing US market is expected to lead to the improvement of the amphibious ATV market. The authorities in North America are encouraging the adoption of eco-friendly products, which leads to the popularity of amphibious ATVs in the region. Manufacturers are offering all-terrain vehicles with improved fuel efficiency and improved designs. Growing tourism and rising disposable income among the middle-class population coupled with government policies will support the market growth in North America. Investments in the development of new and improved versions of all-terrain vehicles and the integration of production operations will boost the region's sharein the amphibious ATV market.
With the growth in the transport sector in Europe, the government agreed to target an emission reduction and set sustainability criteria to control fuel emission. This is expected to impact the all-terrain vehicle specifications offered by OEMs in Europe. Also, manufacturers strategically make investments in the development of all-terrain vehicles to meet the standard specification regarding ATVs. With an increase in per capita expenditure on luxury ATVs are becoming integrated with intelligent technologies due to a rise in automation and computerized controls. Moreover, the presence of key automotive OEMs, stringent government norms regarding emission control, and increased investment in the development of all-terrain vehicles are expected to boost the share of Europe in the global amphibious ATV market during the forecast period.
Asia-Pacific automotive industry is growing due to the presence of countries such as China, Japan, and Australia. The surge in demand for recreational and all-terrain vehicles in the region is propelling the tourism growth in the region. Increased sales of automobiles in the region are attributed to factors such as the growing per capita income, improved infrastructure spending, and initiatives to increase the amount of FDI and economic production cost. Increasing penetration of overseas players and favorable government guidelines are the key driving factors for the growth of the amphibious ATV market in the region.
The global amphibious ATV market has been segmented based on type and application.The global amphibious ATV market is driven by factors such as a rise in commercial applications and investmentsfrom the defense sector. However, the high initial costsareexpected to restrain the market growth. On the other hand, the growing tourism sectoris expected to create growth opportunities for the market players.
With the continuous spread of the novel coronavirus across the world, automakers are taking extreme measures in the form of plant closures to halt the spread of COVID-19. The situation remains uncertain as more European companies suspend work, and the US and Asia-Pacificautomakers extend shutdown periods. The automakers' new plans for North American production units are an effort to contain the spread of the COVID-19 virus; however, the region is currently the global epicenter of the outbreak, with the daily number of confirmed cases surpassing the number in any other region. In the US and Canada, the government response has been a combination of state or provincial, federal, and local measures. In other regions, the countries' governments are applying more stringent conditions on social interaction, travel, and workplace attendance than ever before. These regions are experiencing similar situations, which have a marked effect on the economy as well as society and causing massive economic disruption, with the automotive industry at the center of this turmoil.
Countries across the globe are trying to strikea fine balance between protecting health, lessening economic and social disruption, and respecting human rights. The rising spread of the virus has createdturmoil in various markets. Restrictions to shipping and industrial production are affecting multiple supply chains. Distribution of components is the key process in manufacturing industries, which is facing challenges such as staffing of warehouses, a need for direct distribution, and more intelligent and responsive allocation across channels due to pandemic which led to pressure on supply chains. The impact on the US and countries acrossEurope from the disruptions will be significant, significantly affecting the world economy and badly disrupting global supply chains.
Automotive manufacturing possesses complex processes, with subcomponents required to assemble a single product sourced from several countries across the world. Additionally, the raw materials required to manufacture these subcomponents could come from different countries and continents.The finished products will again be transported all over the globe. Rubber is one of the main raw materials used to produceamphibious ATV, so the demand for raw rubber for processing is rapidly increasing. Some rubber processing plants that had previously shutdown are now opened. The import& export of raw material and finished productshave become more complex due to disruptions in the supply chain.
|Market Size||2030: Significant Value|
|CAGR||10.18% CAGR (2022–2030)|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type and Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||ARGO (Canada), Hydratrek (US), Mudd-Ox Inc. (Indiana), Terra Jet (US), Sherp (Ukraine), Tinger (Russia), Gibbs Technologies Limited (UK), and MaxATVs (Australia)|
|Key Market Opportunities||• Growing Tourism Sector|
|Key Market Drivers||Rise in Commercial Applications • Rise in Investmentsfrom the Defense Sector|
The global amphibious ATV market is maturing at a whopping 10.18% CAGR over the review period of 2022 to 2030.
A few significant players of the global amphibious ATV market are ARGO (Canada), Hydratrek (US), Mudd-Ox Inc. (Indiana), Terra Jet (US), Sherp (Ukraine), Tinger (Russia), Gibbs Technologies Limited (UK), and MaxATVs (Australia).
The segments of the amphibious ATV market, based on Type , application and others.
Growth in Commercial Applications and Defense Industry Investments