Small Gas Engine Market
By Type;
20-100 CC, 101-450 CC and 451-650 CCBy Equipment;
Lawnmower, Chainsaw, Leaf Blower, Pressure Washer, Portable Generator and OthersBy Application;
Construction, Industrial and GardeningBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031).Small Gas Engine Market Overview
Small Gas Engine Market (USD Million)
Small Gas Engine Market was valued at USD 2,874.43 million in the year 2024. The size of this market is expected to increase to USD 4,265.32 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 5.8%.
Small Gas Engine Market
*Market size in USD million
CAGR 5.8 %
| Study Period | 2025 - 2031 |
|---|---|
| Base Year | 2024 |
| CAGR (%) | 5.8 % |
| Market Size (2024) | USD 2,874.43 Million |
| Market Size (2031) | USD 4,265.32 Million |
| Market Concentration | Medium |
| Report Pages | 333 |
Major Players
- Honda Motor Co., Ltd.
- Briggs & Stratton Corporation
- Kohler Co.
- Yamaha Motor Co., Ltd.
- Kawasaki Heavy Industries, Ltd.
- Subaru Corporation
- Generac Holdings Inc.
- Loncin Holdings Co., Ltd.
- Chongqing Rato Technology Co., Ltd.
- Mitsubishi Heavy Industries, Ltd.
- Champion Power Equipment, Inc.
- STIHL Holding AG & Co. KG
- Hydro-Gear Limited Partnership
- Vanguard Group
- GGP Group
- Fuji Heavy Industries Ltd.
- Zhejiang Wanhao Machine Science and Technology Co., Ltd.
- Techtronic Industries Co. Ltd
- TTI
- Robin America, Inc.
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Small Gas Engine Market
Fragmented - Highly competitive market without dominant players
The Small Gas Engine Market is experiencing significant growth driven by increasing demand for compact, lightweight, and fuel-efficient engines across various applications. Over 65% of manufacturers and end-users prefer small gas engines due to their versatility, high performance, and cost-effectiveness. Their growing adoption in residential, commercial, and industrial equipment is fueling overall market expansion.
Expanding Applications Across Equipment and Machinery
The usage of small gas engines has increased across lawnmowers, generators, construction equipment, and agricultural machinery. Approximately 60% of equipment manufacturers integrate these engines to ensure reliable power output, operational flexibility, and longer durability. Their efficiency in supporting both heavy-duty and portable tools has strengthened their position across diverse end-use sectors.
Focus on Sustainability and Energy Efficiency
The increasing focus on eco-friendly engine technologies has led to a rising preference for low-emission engines and energy-efficient systems. Over 55% of manufacturers are investing in cleaner fuel integration, hybrid solutions, and recyclable materials to comply with environmental standards and reduce carbon footprints. This shift supports sustainable practices while improving fuel efficiency and operational performance.
Strategic Collaborations and Market Expansion
The Small Gas Engine Market is benefitting from growing investments, technological partnerships, and innovative product launches among leading manufacturers and equipment developers. Around 58% of industry players are collaborating to create next-generation engines featuring improved torque, enhanced thermal management, and smart monitoring capabilities. These advancements are driving competitiveness and boosting market growth.
Small Gas Engine Market Key Takeaways
-
The Small Gas Engine Market is experiencing growth due to the increasing demand for compact, fuel-efficient engines in outdoor power equipment, such as lawnmowers, trimmers and generators.
-
Technological advancements in engine efficiency, emission control and fuel economy are driving innovation in the market, with manufacturers developing eco-friendly and high-performance engines.
-
The rise of DIY culture and increased consumer interest in home gardening and landscaping are significant contributors to the demand for small gas engines in residential outdoor equipment.
-
Growing industrial applications in sectors like construction, agriculture and forestry are further driving market growth, as small gas engines are used in a wide range of equipment like power tools, pumps and compressors.
-
Regulatory pressure for lower emissions is encouraging manufacturers to focus on the development of more environmentally friendly small gas engines, including electric and hybrid models.
-
North America is expected to dominate the Small Gas Engine Market, driven by high demand from both residential and industrial sectors, as well as strong consumer awareness of outdoor power tools and equipment.
-
Challenges such as price sensitivity and the increasing competition from electric-powered alternatives may slow market growth in certain segments, particularly in regions focused on environmental sustainability.
Small Gas Engine Market Recent Developments
-
In January 2023, Briggs & Stratton unveiled its latest innovation, the Vanguard 725i Series engines, featuring advanced performance capabilities and enhanced fuel efficiency, reinforcing the company’s leadership in the small gas engine market.
-
In February 2023, Honda launched its new GX350 engine, reflecting its long-standing legacy of engineering excellence and technological innovation within the global small gas engine industry.
-
In October 2021, the California government enacted Bill AB 1346, aimed at phasing out gas-powered small off-road engines (SORE) used in outdoor power equipment. The regulation directs the California Air Resources Board (CARB) to set emission standards targeting zero emissions by 2024.
Small Gas Engine Market Segment Analysis
In this report, the Small Gas Engine Market has been segmented by Type, Equipment, Application and Geography.
Small Gas Engine Market, Segmentation by Type
The Small Gas Engine Market is segmented by type into 20-100 CC, 101-450 CC and 451-650 CC. This segmentation reflects the varying power capacities and operational efficiencies suited for different end uses. Demand is influenced by engine performance, emission standards, and the shift toward fuel-efficient models.
20-100 CC
20-100 CC engines are primarily used for light-duty applications such as lawnmowers, trimmers, and small portable generators. Their compact size and cost-effectiveness make them ideal for residential and small-scale landscaping operations.
101-450 CC
101-450 CC engines dominate the market, providing balanced performance and efficiency across a wide range of equipment. They are widely integrated in construction and agricultural tools, reflecting strong demand from commercial users seeking durability and reduced maintenance costs.
451-650 CC
451-650 CC engines cater to heavy-duty equipment that require high torque and extended operation, such as generators and industrial machinery. This segment benefits from rising investments in infrastructure development and commercial landscaping projects.
Small Gas Engine Market, Segmentation by Equipment
The Small Gas Engine Market is segmented by equipment into Lawnmower, Chainsaw, Leaf Blower, Pressure Washer, Portable Generator and Others. Each category represents a vital application domain driven by urbanization, household mechanization, and increasing use of portable power tools.
Lawnmower
Lawnmower engines hold a significant market share, driven by demand from residential lawn care and commercial landscaping services. Advancements in engine design, such as automatic choke systems and improved fuel efficiency, continue to enhance adoption.
Chainsaw
Chainsaw engines are crucial for forestry and garden maintenance applications. The segment benefits from the growth of tree-trimming services and the adoption of lightweight yet powerful units for improved mobility and performance.
Leaf Blower
Leaf Blower engines are witnessing steady growth owing to the increasing need for urban landscape maintenance and public cleanliness initiatives. Enhanced ergonomics and reduced noise levels are key focus areas for manufacturers.
Pressure Washer
Pressure Washer engines are used for cleaning equipment in residential, industrial, and commercial sectors. The rising demand for efficient cleaning solutions in construction and maintenance activities is boosting this segment.
Portable Generator
Portable Generator engines are essential for providing emergency and outdoor power supply. Growth is supported by rising frequency of power outages and demand for backup energy solutions in remote and disaster-prone regions.
Others
The Others category includes small engines used in niche applications such as tillers, snow blowers, and water pumps. Expansion in home gardening and small-scale construction activities drives this segment’s growth.
Small Gas Engine Market, Segmentation by Application
The Small Gas Engine Market is segmented by application into Construction, Industrial and Gardening. The market’s expansion across these applications is driven by equipment modernization, rising outdoor maintenance demand, and infrastructure development initiatives.
Construction
Construction applications dominate the market, driven by the extensive use of portable power tools, compactors, and generators. The increasing pace of urban infrastructure projects and equipment reliability requirements are key drivers of demand.
Industrial
Industrial applications rely on small gas engines for auxiliary power generation, maintenance operations, and portable machinery. Efficiency improvements and compliance with emission standards are shaping product innovation in this segment.
Gardening
Gardening applications represent a major growth area, fueled by the popularity of landscaping and home maintenance trends. The availability of user-friendly engines and the expansion of DIY gardening activities are supporting steady demand growth.
Small Gas Engine Market, Segmentation by Geography
In this report, the Small Gas Engine Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Regions and Countries Analyzed in this Report
North America
North America leads the market with strong demand for garden and power equipment supported by robust home improvement trends. The presence of leading manufacturers and emphasis on low-emission engines further boost regional growth.
Europe
Europe is witnessing steady expansion driven by stringent emission regulations and a rising focus on eco-friendly small engines. The market benefits from technological innovation in fuel efficiency and increasing use of automated gardening equipment.
Asia Pacific
Asia Pacific is expected to record the fastest growth, driven by expanding construction and industrialization activities in China, India, and Southeast Asia. Increasing adoption of cost-effective engines in commercial and domestic sectors fuels this momentum.
Middle East & Africa
Middle East & Africa are emerging regions for small gas engines, supported by infrastructure expansion and growth in residential landscaping projects. The region’s focus on equipment import partnerships is fostering market entry opportunities.
Latin America
Latin America demonstrates moderate growth, led by rising urbanization and demand for portable power and garden tools. Countries like Brazil and Mexico are investing in industrial and home-use engines to enhance operational productivity.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Small Gas Engine Market. These factors include; Market Drivers, Restraints, and Opportunities.
Drivers:
- Rising demand for outdoor power equipment
- Growth in landscaping and construction projects
- Trend towards DIY projects
- Replacement demand for outdated engines
-
Adoption of portable generators - The adoption of portable generators serves as a significant driver in the global small gas engine market. Portable generators offer a convenient and versatile power solution for various applications, including outdoor activities, emergencies, and remote job sites. These generators provide reliable backup power during power outages, making them essential for residential, commercial, and industrial settings.
Portable generators are favored for their portability, allowing users to easily transport them to different locations as needed. This feature makes them particularly popular for outdoor events, camping trips, construction sites, and other remote locations where access to grid power may be limited or unavailable. As a result, the demand for portable generators has been steadily increasing across various end-user segments.
Advancements in portable generator technology have led to the development of more efficient and user-friendly models. Manufacturers are incorporating features such as fuel efficiency, quiet operation, remote start capabilities, and digital displays to enhance the overall user experience. These innovations contribute to the growing adoption of portable generators and drive the expansion of the small gas engine market.
Restraints:
- Preference for electric alternatives
- Concerns about noise pollution
- Skilled labor shortages for maintenance
- Supply chain disruptions
-
Challenges with fuel storage - Challenges with fuel storage present a notable restraint in the global small gas engine market. While portable generators offer reliable power solutions, they require fuel, typically gasoline or diesel, for operation. Storing fuel can pose logistical challenges and safety concerns for users, particularly in residential and commercial settings.
Limited storage space and proper fuel storage conditions can restrict the capacity and usability of portable generators. Users may encounter difficulties in safely storing large quantities of fuel, especially in urban or densely populated areas where space is limited. Additionally, the need for proper ventilation and adherence to safety regulations further complicates fuel storage arrangements.
The shelf life of gasoline and diesel fuel can be limited, especially if not stored correctly. Over time, fuel can degrade, leading to issues such as engine damage or decreased generator performance. This necessitates regular fuel rotation and maintenance, adding to the operational complexities and costs associated with portable generators.
Opportunities:
- Hybrid engine development
- Smart technology integration
- Partnerships with landscaping firms
- Aftermarket service focus
-
Compact engine innovations - Compact engine innovations represent a significant opportunity in the global small gas engine market. As technology continues to advance, manufacturers are increasingly focusing on developing compact and efficient engines for various applications, including lawnmowers, chainsaws, leaf blowers, and portable generators.
These compact engine innovations aim to address several key challenges faced by users, such as limited storage space, fuel efficiency, and environmental concerns. By leveraging advanced engineering techniques and materials, manufacturers can design smaller, lighter, and more powerful engines that offer improved performance and reliability.
Compact engine innovations also enable the development of multifunctional and portable power equipment, catering to the growing demand for versatile and user-friendly solutions. For example, compact engines with higher power-to-weight ratios allow for the creation of lightweight and maneuverable tools that are easy to transport and operate in diverse environments.
Small Gas Engine Market Competitive Landscape Analysis
Small Gas Engine Market is witnessing steady growth, driven by increasing demand for portable power solutions in industries like construction, agriculture, and outdoor recreational activities. Companies in the market are focusing on innovation and collaboration to improve engine performance and fuel efficiency. The market is expanding due to continuous technological advancements in engine design.
Market Structure and Concentration
The Small Gas Engine Market is moderately concentrated, with a few leading players dominating the majority of market share. This concentration creates intense competition, prompting companies to adopt strategies such as mergers, acquisitions, and partnerships to strengthen their product offerings and market position.
Brand and Channel Strategies
Leading brands in the Small Gas Engine Market are focusing on expanding their distribution networks and ensuring wider market penetration. Brand loyalty is being built through strategic collaborations with OEMs and distributors, enabling stronger presence in key industrial and consumer sectors.
Innovation Drivers and Technological Advancements
Innovation is a major driver in the market, with companies investing in fuel efficiency and emission reduction technologies. Advancements in engine design and materials are enhancing performance and reducing environmental impact, contributing to the growing demand for small gas engines in various applications.
Regional Momentum and Expansion
The Small Gas Engine Market is seeing regional momentum in areas with increasing industrialization and demand for compact power solutions. Companies are focusing on regional expansion through partnerships with local suppliers and increasing manufacturing capabilities to meet rising demand in both developed and emerging markets.
Future Outlook
The future outlook for the Small Gas Engine Market is promising, with sustained growth driven by rising demand for portable and efficient engines. Companies are expected to focus on innovation and expansion to stay competitive and meet the evolving needs of consumers and industries across various sectors.
Key players in Small Gas Engine Market include :
- Honda Motor Co., Ltd. - Japan
- Briggs & Stratton Corporation - United States
- Kohler Co. - United States
- Yamaha Motor Co., Ltd. - Japan
- Kawasaki Heavy Industries, Ltd. - Japan
- Subaru Corporation - Japan
- Generac Holdings Inc. - United States
- Loncin Holdings Co., Ltd. - China
- Chongqing Rato Technology Co., Ltd. - China
- Mitsubishi Heavy Industries, Ltd. - Japan
- Champion Power Equipment, Inc. - United States
- STIHL Holding AG & Co. KG - Germany
- Hydro-Gear Limited Partnership - United States
- Vanguard Group - United States
- GGP Group - Italy
- Fuji Heavy Industries Ltd. - Japan
- Zhejiang Wanhao Machine Science and Technology Co., Ltd. - China
- Techtronic Industries Co. Ltd. - Hong Kong
- TTI - United States
- Robin America, Inc. - United States
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By Equipment
- Market Snapshot, By Application
- Market Snapshot, By Region
- Small Gas Engine Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Rising demand for outdoor power equipment
- Growth in landscaping and construction projects
- Trend towards DIY projects
- Replacement demand for outdated engines
- Adoption of portable generators
- Restraints
- Preference for electric alternatives
- Concerns about noise pollution
- Skilled labor shortages for maintenance
- Supply chain disruptions
- Challenges with fuel storage
- Opportunities
- Hybrid engine development
- Smart technology integration
- Partnerships with landscaping firms
- Aftermarket service focus
- Compact engine innovations
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Small Gas Engine Market, By Type, 2021 - 2031 (USD Million)
- 20-100 CC
- 101-450 CC
- 451-650 CC
- Small Gas Engine Market, By Equipment, 2021 - 2031 (USD Million)
- Lawnmower
- Chainsaw
- Leaf Blower
- Pressure Washer
- Portable Generator
- Others
- Small Gas Engine Market, By Application, 2021 - 2031 (USD Million)
- Construction
- Industrial
- Gardening
- Small Gas Engine Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Small Gas Engine Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Honda Motor Co., Ltd. - Japan
- Briggs & Stratton Corporation - United States
- Kohler Co. - United States
- Yamaha Motor Co., Ltd. - Japan
- Kawasaki Heavy Industries, Ltd. - Japan
- Subaru Corporation - Japan
- Generac Holdings Inc. - United States
- Loncin Holdings Co., Ltd. - China
- Chongqing Rato Technology Co., Ltd. - China
- Mitsubishi Heavy Industries, Ltd. - Japan
- Champion Power Equipment, Inc. - United States
- STIHL Holding AG & Co. KG - Germany
- Hydro-Gear Limited Partnership - United States
- Vanguard Group - United States
- GGP Group - Italy
- Fuji Heavy Industries Ltd. - Japan
- Zhejiang Wanhao Machine Science and Technology Co., Ltd. - China
- Techtronic Industries Co. Ltd. - Hong Kong
- TTI - United States
- Robin America, Inc. - United States
- Company Profiles
- Analyst Views
- Future Outlook of the Market

