The global all-terrain vehicle market revenue was valued at US$ 3.9 billion in 2021 and is expected to reach US$ 5.9 billion by 2031. The market will register a CAGR (Compound Annual Growth Rate) of 4.8% during the forecast period from 2022 to 2031.

All-terrain vehicle (ATV) is a vehicle that has handlebars and at least three low-pressure tires. Three, four, or even six wheels are possible for an all-terrain vehicle. It can also be divided into Type I and Type II categories. Type I is designed to be operated solely by the operator, without any passengers. Type II needs to have both a driver and a passenger.

Factors Influencing Market Growth

Due to a rise in the popularity of adventure sports and leisure activities, increased demand for ATVs in military applications, and government regulations supporting the use of ATVs on public roads. Such factors propel the market growth.

ATV driving restrictions in wildlife areas because they damage the terrain and the high maintenance price. Thus, these factors impede market growth.

Growing disposable income and purchasing power in established and emerging economies will fuel demand for such vehicles.

COVID-19 Pandemic Effect on Market Growth

The worldwide automotive industry was significantly impacted by the COVID-19 outbreak, which, in turn, decline the demand for automobiles, which had a negative influence on the business. The semiconductor chip shortage caused significant delays in the manufacturing of cars and ATVs. Additionally, COVID-19 had an impact on ATV vehicle production all over the world. In reaction to the pandemic outbreak, it compelled manufacturers in North America to temporarily close their production facilities.

Regional Analysis

North America is expected to have the largest share of the global all-terrain vehicles market. The release of new models of these vehicles by significant manufacturers and racing championships held by top ATV clubs both contribute to the expansion of the market in the area. Additionally, it is projected that the market in this region would grow as a result of government regulations that favor the use of these vehicles on public roads. For instance, the state and local governments in the United States have previously established a law permitting ATVs to be used on roads under certain restrictions.
Leading Competitors
The leading competitors in the global all-terrain vehicle market are:
Kwang Yang Motor Co., Ltd.
Polaris Industries, Inc.
Suzuki Motor Corporation
Textron Inc.
Yamaha Motor Co. Ltd.
BRP Inc.
CFMOTO
Deere & Company
Hisun Motors Corp.
Honda Motor Co. Ltd.
Kawasaki Heavy Industries Ltd.
Kubota Corporation
Others
Segmentation Analysis
The global all-terrain vehicle market segmentation focuses on Type, Fuel Type, Displacement, End-Use, and Region.
Segmentation based on Type
Sport all-terrain vehicle
Utility all-terrain vehicle
Others
Segmentation based on Fuel Type
Diesel-powered
Electric powered
Gasoline powered
Solar powered
Segmentation based on Displacement
Greater than 800 CC
Between 400 CC and 800 CC
Less than 400 CC
Segmentation based on End-Use
Military
Mountaineering
Agriculture
Others
Segmentation Based on Region
North America
U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Europe

Asia-Pacific
China
India
Japan, South Korea
ASEAN
Rest of Asia-Pacific

Middle East & Africa (MEA)
Brazil
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America