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Off-road vehicles are vehicles, which run on and off the road surface, usually over rough terrain. These vehicles are categorised on the basis of specifications of tyre and suspension. Factors such as high ground clearance, skid plates, approach departure, and breakover allows these vehicles to ply on unpaved roads with low and rough traction surfaces. It includes both two-wheelers and four-wheelers such as SUVs.

Major factor driving growth of the market are increasing adoption of off-road vehicles in military and agriculture operations. Off-road trucks are used in military operations to transport cargo, fuels, ammunition etc. These vehicles are also used for transportation of heavy loaded weapons during wars. Utility off-road vehicles are used in agricultural operations such as crop plotting and scouting, for picking rocks, for irrigation purpose etc. These type of vehicles perform farm work efficiently thus, reducing the labor costs associated with these tasks. Moreover, advanced technologies such as GPS on these vehicles, for creating field boundaries and marking field lines, allows to reduce soil compaction and save planting time by marking the lines. Thus, increasing adoption of utility vehicles in agriculture is expected to positively impact growth of the off-road vehicle market.

However, these vehicles are used for rough terrains, and not for paved road use. Also, it becomes difficult to ride these vehicles on extreme paved surfaces. These factors are expected to restrain growth of the market over the forecast period (2017–2025).

Global Off-road Vehicles Market: Taxonomy

On the basis of vehicle type, the global off-road vehicles market is segmented into:

On the basis of product type, the global off-road vehicles market is segmented into:

  • Utility
  • Recreational
  • Youth

On basis of application, the global off-road vehicles market is segmented into:

  • Sports
  • Military and Defense
  • Hunting
  • Others

On basis of vehicle type, the global off-road vehicles market is segmented into

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

Global Off-road Vehicles Market: Regional Insights

North America is expected to hold the largest market share in global off-road vehicles market in over the forecast period. According to the Coherent Market Insights analysis, U.S. accounted for over 50% of the global off-road vehicles sales in 2016. Moreover, high presence of automotive parts providers in the region such as Visteon Corporation, Borgwarner Inc., and Lear Corporation is expected to positively impact growth of the market in this region. Additionally, increasing number of sport events such as mountain racing, dirt racing, and all terrain racing, organized in the region is expected to further boost demand for off-road vehicles. Canadian Council of Snowmobile Organizations and North American Council of Snowmobiles Associations conducts sports events every year, which also has a positive impacts on the growth of the off-road vehicles market in this region.

Global Off-road Vehicles Market: Competitive Background

Key players in the global off-road vehicles market are Polaris Industries, Inc., Yahama Motor co., Ltd., Honda Motor Co., Ltd., Kawasaki Motor Co., Kubota Corporation, BRP Inc., Arctic Cat Inc., Deere and Company, Mahindra and Mahindra, Ford Motor Company, Volkswagen AG, and Land Rover.

Key Developments:

  • In September 2019, Polaris Inc. announced a launch of its new adventure crossover 64-inch Polaris GENERAL XP 1000, with additional new features such as more ground clearance and wider stance. It is available in two-and four-seat models is available with 100HP.
  • In August 2019, John Deere started production of class L-Series wheel loaders namely; 744L, 824L, and 844L. These three models are equipped with a roomier cab, an improved HVAC system and new electrohydraulic (EH) controls.
  • In May 2019, Caterpillar introduced its new agricultural loader Cat 914K Ag Handler which is specially developed to meet needs of Brazilian rural producers.
  • Textron Specialized Vehicles Inc. launched Prowler Pro Crew XT to its Textron off Road Prowler Pro lineup. The new Pro Crew XT provides quiet power and performance to the multi-passenger market.
  • In March 2017, Textron Inc. an American industrial conglomerate acquired Arctic Cat Inc. snowmobiles and all-terrain vehicles manufacturing company. Arctic Cat is operating as a subsidiary of Textron Specialized Vehicles Inc. which will design and manufacture equipment and vehicles used for the off-road purpose.

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