Small Gas Engines Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The global small gas engines market attained a value of about USD 3.10 Billion in 2024. The market is further expected to grow at a CAGR of 4.10% during the forecast period of 2025-2034 to reach nearly USD 4.63 Billion by 2034.

Small Gas Engines Market Growth

Rising Pertinency of Small Gas Engines in Residential and Commercial Sectors to Drive the Growth of the Market

The global market for small gas engines is being driven by its rising applicability in the commercial and residential sectors. Small gas engines are used for various applications, such as snow removal, lawn care and renovation, concrete mixers, and generators, among others, owing to higher flexibility and quick start-up features, thereby propelling the growth of the small gas engines market. The ability of small engines to provide propulsion, drive wheels, and turn blades for clearing grass or snow are added factors that are positively influencing the market growth.

Small Gas Engines Market Trends

In addition, the market growth can further be associated with the rising use of small engines in lawn mowers during recent years. The rising focus on gardening amidst the lockdown period has been a significant factor stimulating the small gas engines market share. Further, with technological advancements by leading industry players, improvements in reliability, gaskets, and machine accuracy, the market is further expanding.

Recent Developments

As per the small gas engines market dynamics and trends, Avadi, a US-based company, announced that it has developed a rotary piston engine which can offer gear reduction in the small gas engines that are used in lawnmowers and motorcycles.

Industry Outlook

The growth of the small gas engines industry is driven by growing demand for outdoor power equipment and the increasing adoption of landscaping and gardening practices globally.

According to Oxford Economics, China is expected to dominate the global top 10 construction markets in 2037, accounting for 31% of global construction output. The United States is projected to hold the second-largest share at 13%, followed by India with 7%. Germany is anticipated to account for 5% of the market, while Japan and the United Kingdom each are expected to contribute 3%. Canada, South Korea, France, and Italy are each projected to hold a 2% share. The remaining 30% of the market is attributed to other countries outside of these top 10 markets.

As per the small gas engines industry analysis, from 2022 to 2037, the construction market's growth rate is expected to vary significantly across different global regions. Emerging Asia is anticipated to experience the highest growth at 3.3%, followed by Sub-Saharan Africa at 2.8% and the Middle East and North Africa (MENA) at 2.7%. Latin America is projected to grow at 2.5%, Eastern Europe at 2.3%, Western Europe at 1.8%, North America at 1.7%, and Developed Asia at 1.1%.

This trend indicates robust growth in developing regions, driven by economic development and increased demand for infrastructure that can boost the small gas engines industry revenue. The burgeoning construction activities in Emerging Asia and Sub-Saharan Africa suggest a parallel increase in demand for small gas engines used in construction equipment, highlighting the correlation between construction market trends and the growth of the market.

What Factors are Strengthening the Growth of the Global Small Gas Engines Market?

• Increasing Construction Activities: Rapid urbanization and infrastructure development, particularly in Emerging Asia and Sub-Saharan Africa, drive demand for construction equipment powered by small gas engines.
• Growing Landscaping and Gardening Activities: The rise in residential and commercial landscaping projects, especially in developed countries, boosts the use of lawnmowers, trimmers, and other tools relying on small gas engines, fuelling small gas engines demand growth.
• Advancements in Engine Technology: Innovations in engine efficiency, reduced emissions, and improved fuel economy make small gas engines more attractive, supporting market growth.
• Rising Recreational Activities: Increased participation in recreational activities such as boating and off-road vehicles leads to higher demand for small gas engines used in marine engines and all-terrain vehicles.

Challenges Impacting the Global Small Gas Engines Market:

• Emission Compliance Costs: Compliance with Euro 5 and EPA Phase 3 emission standards is raising production costs for small gas engine manufacturers, making it challenging to maintain competitive pricing and influencing small gas engines demand forecast.
• Electric Equipment Adoption: The rapid adoption of battery-powered lawn and garden equipment, particularly in North America and Europe.
• Raw Material Shortages: Shortages of key materials like steel and aluminum, essential for engine manufacturing, may cause production delays and increased costs.
• Technological Advancements in Alternatives: Superior performance and declining costs of lithium-ion batteries are making electric engines a more viable alternative, impacting the demand for traditional small gas engines.

What are the Key Trends Shaping the Global Small Gas Engines Market?

• Biofuel-Compatible Engines: Companies are developing engines that run efficiently on ethanol blends, addressing both environmental concerns and regulatory requirements and fuelling small gas engines demand.
• Precision Agriculture Equipment: John Deere's introduction of small gas-powered drones and automated tillers for precision agriculture is increasing demand in the farming sector.
• Urbanization in Asia-Pacific: Rapid urban development in India and Vietnam is driving significant demand for small gas engines used in construction tools and landscaping equipment.
• Aftermarket Services: Companies are expanding their aftermarket services, including spare parts and maintenance, to cater to the growing number of small gas engines in use, particularly in developed regions.

Small Gas Engines Industry Segmentations

Small gas engines are low powered internal combustion engines that carry a displacement rate of 20cc to 650cc and are equipped with systems like fuel, exhaust, ignition, combustion, cooling, and lubrication, among others. Small engines are popularly used in lawn mowers, chainsaws, leaf and snow blowers, and concrete mixers, among several others.

On the basis of equipment, the small gas engines industry can be segmented into:

• Lawn Mower
• Chainsaw
• String Trimmer
• Hedge Trimmer
• Portable Generator
• Rotary Tiller
• Pressure Washer
• Concrete Vibrators
• Concrete Screed
• Edger
• Leaf Blower
• Snow Blower
• Others

Based on engine displacement, the market can be categorised into:

• 20 cc-100 cc
• 101 cc-400 cc
• 401 cc-650 cc

The market, based on end-use, can be divided into:

• Residential
• Construction
• Industrial
• Commercial
• Others

The report looks into the regional markets of small gas engines like:

• North America
• Latin America
• Asia-Pacific
• Europe
• Middle East and Africa

Small Gas Engines Market Share

Flourishing Construction Industry is Projected to Hold a Significant Share in the Market Growth of Small Gas Engines

The construction segment of the global market for small engines is anticipated to hold a significant share in the overall growth of the market. This can be associated with the rise in residential and commercial constructions where small gas engines are used as outdoor power equipment like concrete mixers. Moreover, owing to factors like inflating disposable incomes, industrialisation, and urbanisation, among others, in major emerging countries, the growth of the construction sector is positively influencing the small gas engines industry expansion. Further, due to nominal maintenance and rental costs, and low product costs, outdoor power equipment are being frequently rented by contractors, thus propelling the market growth.

The growth of the market can further be associated with stringent emission norms and the corresponding development of technologies like engine boosting, gasoline direct injection (GDI), and homogenous charge compression ignition (HCCI), among others. In addition, the rising focus on sustainable fuel methods, such as biofuel and natural gas, to reduce the dependency on depleting fossil fuels, increasing carbon emissions from fuel combustion, and negative impact on the environment are expected to positively shape the growth of the market in the coming years.

Small Gas Engines Market Regional Analysis

North America accounts for a major market share owing to the growing demand for renting outdoor equipment among consumers. Moreover, rising investment in the construction sector is expected to boost the demand for small gas engines for powering concrete mixers and compactors, among other equipment, boosting the demand of small gas engines market.

Competitive Landscape

The report presents a detailed analysis of the following key players in the global small gas engines industry, looking into their capacity, market share, and latest developments like capacity expansions, plant turnabouts and mergers and acquisitions:

• Briggs And Stratton Corporation
• Kohler Co.
• Kawasaki Heavy Industries, Ltd.
• Kipor Power
• Fuzhou Launtop M&E Co., Ltd
• Others

The comprehensive report looks at the micro and macro aspects of the industry. The report gives an in-depth insight into the market by providing a SWOT analysis as well as an analysis of the Porter’s Five Forces Model.

Competitive Factors in the Global Small Gas Engines Market

• The global small gas engines industry is highly competitive, driven by technological advancements in fuel efficiency and emissions reduction.
• Companies are investing heavily in R&D to meet stringent environmental standards, particularly in regions like North America and Europe. Competitive factors include engine reliability, durability, and performance, with a strong emphasis on eco-friendly innovations.
• Expanding aftermarket services, such as comprehensive maintenance packages and availability of spare parts, are crucial for customer retention. Additionally, the ability to quickly adapt to changing regulatory requirements and regional market demands significantly influences market success.

Key Players in the Global Small Gas Engines Market and their Strategic Initiatives

• Briggs and Stratton Corporation: Introduced the Vanguard EFI engine line, featuring electronic fuel injection for better fuel economy and performance. They are also partnering with alternative fuel providers to develop engines compatible with biofuels that can boost small gas engines market value.
• Kohler Co.: Launched the Command PRO EFI ECH440 engine, offering superior fuel efficiency and reduced emissions. Kohler is also acquiring regional distributors to strengthen its market presence in Asia and South America.
• Kawasaki Heavy Industries, Ltd.: Focused on the FT series engines, which include integrated electronic throttle control for enhanced precision in power output. Kawasaki is expanding its R&D facilities to innovate further in smart engine technology.
• Kipor Power: Developing a range of dual-fuel engines that can run on both gasoline and propane, aiming to cater to the growing demand for versatile power solutions. They are also upgrading their manufacturing plants to increase production capacity and enhance small gas engines market revenue.
• Fuzhou Launtop M&E Co., Ltd: Enhancing its product line with high-efficiency, low-emission engines specifically designed for export markets in North America and Europe. They are investing in automated production lines to improve product consistency and reduce costs.