Gasoline Gensets Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented, By Type (Open-Frame Generators, Enclosed Generators), By Fuel Consumption (Low Consumption, Medium Consumption), By End-User (Industrial, Commercial, and Residential), By Region, By Competition, 2020-2030F

Market Overview

Global Gasoline Gensets Market was valued at USD 9.66 Billion in 2024 and is expected to reach USD 12.93 Billion by 2030 with a CAGR of 4.82%. The Gasoline Gensets Market refers to the global industry focused on the production, distribution, and deployment of gasoline-powered generator sets (gensets), which serve as portable or stationary power solutions across various applications. These gensets utilize gasoline as a primary fuel to generate electrical energy and are widely used in residential, commercial, industrial, and recreational settings. Gasoline gensets are especially preferred for their compact design, ease of transport, relatively lower initial cost, and suitability for short-duration power needs.

They are extensively employed in off-grid locations, emergency backup systems during power outages, construction sites, and outdoor events where grid electricity is either unavailable or unreliable. Technological advancements have improved their operational efficiency, reduced emissions, and enhanced noise control, making them more compliant with environmental regulations and user-friendly. Market growth is driven by the increasing demand for uninterrupted power supply in both urban and rural areas, particularly in developing countries with inconsistent grid infrastructure. The market is also experiencing a boost from the rising frequency of weather-related power outages, growing construction activities, and increased reliance on electronic devices requiring stable power support. Moreover, the market is segmented based on power capacity (low, medium, and high), phase type (single-phase and three-phase), end-user (residential, commercial, and industrial), and region.

Key Market Drivers

Rising Demand for Reliable Backup Power Amid Increasing Power Outages

The escalating frequency and severity of power outages globally have significantly heightened the demand for reliable backup power solutions, positioning gasoline gensets as a critical component in ensuring uninterrupted power supply. Factors such as aging grid infrastructure, extreme weather events, and increasing energy consumption have strained existing power systems, leading to more frequent blackouts. In regions prone to natural disasters like hurricanes, wildfires, and floods, the need for dependable backup power is paramount to maintain essential services and ensure safety.

Gasoline gensets offer a portable and immediate solution, capable of powering homes, businesses, and critical infrastructure during outages. Their relatively low initial cost, ease of operation, and availability of fuel make them an attractive option for both residential and commercial users. Moreover, the rise in remote work and the increasing reliance on electronic devices have made continuous power supply more critical than ever, further driving the adoption of gasoline gensets. Manufacturers are responding by developing more efficient, quieter, and environmentally friendly models to meet consumer demands and regulatory standards. As power reliability becomes a growing concern, especially in developing regions with unstable grids, the gasoline genset market is poised for substantial growth. The average frequency of power outages worldwide has increased by over 20% in the last decade, driven by aging infrastructure, extreme weather, and rising energy demand. The global backup power market was valued at around USD 20 billion in 2023 and is projected to grow to $35 billion by 2030, at a CAGR of about 8%. Data centers, healthcare facilities, and industrial sectors are the largest consumers of backup power systems, accounting for over 60% of the market share.

Expansion of Construction and Infrastructure Development Projects

The global surge in construction and infrastructure development projects has emerged as a significant driver for the gasoline gensets market. Rapid urbanization, population growth, and economic development have led to increased investments in residential, commercial, and industrial construction. Construction sites often operate in areas without access to the main power grid, necessitating portable and reliable power sources to run tools, machinery, and lighting. Gasoline gensets are particularly suited for these applications due to their mobility, ease of setup, and ability to provide immediate power.

They are essential in ensuring that construction activities proceed without delays caused by power shortages. Additionally, the growing trend of modular and off-site construction methods requires flexible power solutions that can be easily transported and deployed, further boosting the demand for gasoline gensets. Emerging economies, especially in Asia-Pacific and Latin America, are witnessing significant infrastructure development, including roads, bridges, and public facilities, creating a substantial market for gasoline gensets. Furthermore, government initiatives aimed at improving infrastructure and housing are expected to sustain this demand. As the construction industry continues to expand, the role of gasoline gensets as a vital power source is set to grow correspondingly. Infrastructure development accounts for nearly 30-35% of global construction spending, driven by urbanization and government investments. Emerging economies in Asia-Pacific, especially China and India, are expected to contribute to over 50% of global construction growth through 2030.

Technological Advancements Enhancing Genset Efficiency and Environmental Compliance

Technological innovations have played a pivotal role in propelling the gasoline gensets market forward, focusing on enhancing efficiency, reducing emissions, and improving user experience. Modern gasoline gensets are increasingly equipped with digital control systems, allowing for real-time monitoring of various parameters such as fuel consumption, engine performance, and maintenance schedules. These smart features enable predictive maintenance, reducing downtime and operational costs. Advancements in engine technology have led to more fuel-efficient models that comply with stringent environmental regulations, addressing concerns over emissions and noise pollution. The integration of inverter technology has resulted in gensets that provide cleaner and more stable power, suitable for sensitive electronic devices.

The development of hybrid gensets that can operate in conjunction with renewable energy sources like solar panels offers a more sustainable power solution, appealing to environmentally conscious consumers. Manufacturers are also focusing on designing compact and lightweight models without compromising power output, enhancing portability and ease of use. These technological advancements not only meet the evolving needs of consumers but also open new market opportunities in sectors such as healthcare, telecommunications, and remote operations. As innovation continues to drive product development, the gasoline gensets market is expected to witness sustained growth.

Download Free Sample Report

Key Market Challenges

Rising Environmental Regulations and Shift Toward Cleaner Energy Alternatives

One of the most significant challenges facing the Gasoline Gensets Market is the intensifying global regulatory landscape surrounding emissions and environmental sustainability. Governments across regions are implementing increasingly stringent environmental regulations aimed at curbing greenhouse gas emissions, air pollutants, and noise levels produced by conventional fuel-powered generators. Gasoline gensets, while compact and widely used, emit significant quantities of carbon monoxide, nitrogen oxides, and volatile organic compounds, making them a target for regulatory scrutiny. In response, regulatory agencies such as the Environmental Protection Agency (EPA) in the United States and the European Environment Agency (EEA) have introduced emission standards that manufacturers must comply with, increasing the cost of production and limiting product flexibility.

Global climate commitments and net-zero targets are driving both public and private sectors to seek low-emission or zero-emission power solutions. As a result, alternative power generation technologies such as solar-powered backup systems, fuel cells, and hybrid solutions are increasingly being adopted in place of gasoline gensets. Additionally, the rapid development and cost-competitiveness of lithium-ion battery storage systems is further eroding the market share of gasoline-powered generators, particularly in residential and small business applications.

Consumer preferences are also shifting, with end-users becoming more conscious of environmental impacts and seeking quieter, cleaner, and more sustainable power alternatives. These trends place pressure on genset manufacturers to innovate and invest in cleaner technologies, which may be capital-intensive and time-consuming. The inability to pivot quickly toward greener alternatives may result in regulatory penalties, product obsolescence, and loss of market competitiveness. Overall, the evolving environmental landscape poses both direct and indirect challenges to the growth and sustainability of the gasoline gensets market, urging companies to rethink their product strategies in the face of global decarbonization initiatives.

Volatile Fuel Prices and Operational Cost Concerns

Another key challenge confronting the Gasoline Gensets Market is the volatility of gasoline prices, which directly impacts the operating cost and economic viability of genset usage, especially in cost-sensitive markets. Fuel price fluctuations are driven by various global macroeconomic factors, including geopolitical tensions, supply chain disruptions, OPEC production policies, and currency exchange rates. For end-users, particularly in emerging economies and remote regions where gensets are a critical source of backup power, spikes in gasoline prices can substantially raise total cost of ownership. This creates financial pressure on residential users, small businesses, and even public infrastructure projects relying on consistent and affordable power generation.

As operating expenses rise, customers increasingly turn to more cost-stable alternatives such as diesel gensets, which offer greater fuel efficiency for long-duration use, or renewable energy systems that have minimal recurring fuel costs. Additionally, the market has witnessed increased scrutiny over total lifecycle costs, where gasoline gensets often fall short due to higher fuel expenses and more frequent maintenance requirements compared to other options. From a commercial and industrial standpoint, these cost disadvantages can make gasoline gensets less attractive for large-scale or mission-critical applications. Manufacturers, in turn, face the challenge of improving engine efficiency and fuel optimization technologies to stay competitive, which can lead to higher research and development costs.

In areas where government subsidies or tax incentives are being directed toward renewable or hybrid energy solutions, gasoline gensets lose their price advantage. As more countries adopt energy efficiency mandates and cost-effectiveness becomes a central decision-making factor, gasoline gensets may continue to face declining demand unless there are significant technological advancements. In this context, price instability and operational cost challenges represent a formidable hurdle for stakeholders in the gasoline genset value chain.

Key Market Trends

Rising Demand for Backup Power Solutions Amid Increasing Grid Instability

One of the most significant trends shaping the gasoline gensets market is the escalating demand for reliable backup power solutions due to increasing occurrences of grid instability and power outages globally. With a growing reliance on electricity for both residential and commercial activities, any interruption in the power supply can lead to significant disruptions, productivity losses, and discomfort. This is especially pronounced in emerging economies across Asia-Pacific, Africa, and parts of Latin America, where aging grid infrastructure, rapid urbanization, and increasing electrification are creating supply-demand imbalances.

Gasoline-powered generators serve as a cost-effective and readily available option for backup energy in these regions, particularly for residential users and small businesses that require moderate power capacity. In developed nations, climate-induced extreme weather events such as hurricanes, wildfires, and winter storms are causing more frequent power outages, prompting homeowners and enterprises to invest in dependable gensets for emergency power supply. Furthermore, the expansion of telecommunication infrastructure, especially in remote areas, is boosting the installation of gasoline generators to ensure uninterrupted connectivity.

Construction sites and temporary events also rely heavily on portable gasoline gensets due to their ease of transport, quick start-up times, and affordable operation for short-term needs. The trend is reinforced by heightened consumer awareness regarding the importance of power security and the increasing availability of compact, user-friendly gensets from major manufacturers. As a result, gasoline gensets are being adopted not only as contingency power systems but also as essential tools for ensuring operational continuity in critical and remote settings.

Technological Advancements in Portable and Inverter Gasoline Gensets

The Gasoline Gensets Market is experiencing a notable transformation fueled by advancements in portable and inverter generator technologies. Traditionally known for being noisy, inefficient, and environmentally challenging, gasoline gensets are now benefiting from modern engineering that prioritizes fuel efficiency, reduced emissions, quiet operation, and enhanced digital integration. Inverter technology, in particular, is gaining significant traction in residential and recreational applications.

These gensets produce clean, stable electricity suitable for sensitive electronics such as laptops, mobile phones, and medical equipment—attributes increasingly valued in both household and outdoor leisure use cases. The demand for quiet and lightweight generators is especially high among users who seek portable power solutions for camping, RVs, boating, and outdoor events. In response, manufacturers are investing in R&D to develop models with smart throttle controls, advanced muffler systems, and compact designs that reduce weight without compromising power output.

Integration with IoT-enabled features, mobile app monitoring, and Bluetooth/Wi-Fi connectivity is enhancing user experience and operational efficiency. These smart features allow users to track fuel levels, runtime, maintenance schedules, and load usage in real-time, thereby boosting the convenience and usability of gasoline gensets. As regulatory pressures around noise pollution and environmental compliance increase, especially in urban areas, the trend toward inverter gasoline gensets is expected to continue, further reshaping market offerings and consumer expectations.

Expansion of the Rental Power Market Driving Gasoline Genset Demand

The expansion of the global rental power market has emerged as a key trend driving the growth of gasoline gensets, especially in sectors requiring temporary, mobile, or emergency power. As industries and event organizers increasingly shift toward asset-light models, renting gasoline generators offers a flexible and cost-effective solution for short-term power needs without the capital expenditure or maintenance burden of ownership. The construction sector is a primary contributor to this trend, where short-duration power requirements during building, renovation, or infrastructure projects create consistent demand for portable gasoline gensets. Similarly, outdoor events such as concerts, festivals, sports tournaments, and disaster response operations heavily depend on rental gensets to ensure continuous power in locations not connected to the grid.

Emerging economies with underdeveloped energy infrastructure rely on rental power to support community-level projects and local businesses. The market is also witnessing increased adoption by telecom companies for base transceiver station (BTS) power backup in remote locations, where gasoline generators are often preferred for their portability and quick deployment. This trend is fostering the growth of a structured generator rental ecosystem, with service providers offering full-service packages including fuel management, installation, and maintenance. Gasoline gensets are ideal for these temporary use cases due to their low upfront cost, ease of operation, and availability in a wide range of power outputs. As the rental model gains momentum across various verticals, manufacturers are responding with rugged, user-friendly, and compact gasoline generator models optimized for short-term deployment, reinforcing the sustained growth trajectory of this segment.

Segmental Insights

Type Insights

The Open-Frame Generators segment held the largest Market share in 2024. The Open-Frame Generators segment within the Gasoline Gensets Market is experiencing robust growth, driven by a confluence of factors that underscore their practicality, affordability, and adaptability across diverse applications. These generators are particularly favored in residential, commercial, and construction settings due to their cost-effectiveness, ease of maintenance, and portability. In regions with unreliable power grids or frequent outages, open-frame gasoline generators provide an immediate and dependable backup power solution, ensuring continuity of operations and comfort. The construction industry, in particular, benefits from these generators, as they offer a reliable power source for tools and equipment in remote or undeveloped sites where grid access is limited or nonexistent.

The increasing frequency of extreme weather events has heightened the demand for emergency power solutions, with open-frame generators serving as a critical resource during such crises. Technological advancements have further enhanced the appeal of these generators, with modern models boasting improved fuel efficiency, reduced emissions, and quieter operation, aligning with growing environmental concerns and regulatory standards. The Asia Pacific region stands out as a significant growth area, propelled by rapid urbanization, infrastructure development, and a rising need for reliable power in both urban and rural settings. Additionally, the affordability of gasoline as a fuel source, combined with the relatively low initial investment required for open-frame generators, makes them an attractive option for small businesses and households alike. As the global emphasis on energy resilience and infrastructure development intensifies, the Open-Frame Generators segment is poised to play a pivotal role in meeting the world's evolving power needs.

Fuel Consumption Insights

The Low Consumption segment held the largest Market share in 2024. The growth of the gasoline gensets market in the low consumption segment is propelled by a confluence of factors that underscore the demand for compact, efficient, and affordable power solutions across various applications. The increasing frequency of power outages, driven by aging grid infrastructures and extreme weather events, has heightened the need for reliable backup power sources, particularly in residential and small commercial settings. Gasoline gensets, especially those with power ratings below 5 kW, have emerged as a preferred choice due to their portability, ease of use, and cost-effectiveness. These units are adept at powering essential appliances such as refrigerators, lighting systems, and communication devices during outages, ensuring minimal disruption to daily life .

Affordability remains a critical driver in this segment. Compared to diesel or natural gas generators, gasoline gensets typically have lower upfront costs, making them accessible to a broader consumer base. This economic viability is particularly appealing in developing regions where budget constraints are more pronounced. Additionally, the widespread availability of gasoline as a fuel source enhances the practicality of these gensets, especially in remote or off-grid areas where alternative fuels may be scarce . Technological advancements have further bolstered the appeal of low consumption gasoline gensets. Modern units are increasingly designed to be quieter, more fuel-efficient, and environmentally friendly, addressing common concerns associated with generator use. Features such as inverter technology allow for cleaner power output, making these gensets suitable for sensitive electronic devices. Moreover, the integration of smart technologies enables remote monitoring and control, enhancing user convenience and operational efficiency.

The versatility of low consumption gasoline gensets extends beyond emergency backup. They are widely utilized in outdoor recreational activities, including camping and tailgating, where portable power is essential. Their compact size and ease of transportation make them ideal for such applications, contributing to their growing popularity among outdoor enthusiasts. Furthermore, small businesses and construction sites often rely on these gensets to power tools and equipment in locations lacking access to the electrical grid. low consumption segment of the gasoline gensets market is experiencing robust growth fueled by the need for reliable, affordable, and portable power solutions. The convergence of increasing power reliability concerns, economic considerations, technological innovations, and diverse application scenarios underscores the segment's expansion. As consumer awareness and demand continue to rise, manufacturers are poised to capitalize on these trends by offering advanced, user-friendly, and environmentally conscious genset models.

Download Free Sample Report

Regional Insights

Largest Region

North America region held the largest market share in 2024. The Gasoline Gensets Market in the North America region is experiencing robust growth, driven by several key factors that underscore the region’s increasing reliance on backup and portable power solutions. One of the primary drivers is the rising frequency and intensity of extreme weather events—such as hurricanes, wildfires, and winter storms—which continue to disrupt power infrastructure and highlight the need for reliable, off-grid electricity generation. In particular, regions like California, Texas, and the Southeastern U.S. have witnessed significant power outages due to grid instability, spurring residential, commercial, and industrial users to invest in gasoline-powered generators as essential backup systems. Additionally, the growing demand for reliable electricity in remote and rural areas where grid connectivity is limited or non-existent further contributes to the expansion of the gasoline genset market. Another major factor is the strong presence of recreational vehicle (RV) users, outdoor activities, and camping culture across North America, particularly in the United States, which fuels demand for portable gasoline generators. Furthermore, the rising adoption of home improvement and preparedness solutions, especially post-COVID, has elevated the popularity of standby generators among homeowners seeking energy security.

From a commercial standpoint, small businesses and construction sites are increasingly deploying gasoline gensets to ensure uninterrupted operations during outages or in off-grid locations. In parallel, the aging power grid infrastructure in parts of North America—especially in older urban centers—is proving insufficient to meet peak demand loads, prompting users to seek alternative power solutions such as gasoline gensets. Regulatory developments and incentive programs that support emergency preparedness are also playing a supporting role in market expansion. In terms of product development, manufacturers are enhancing gasoline gensets with improved fuel efficiency, noise reduction, and compact designs, making them more attractive for both residential and commercial applications. Technological advancements, such as remote monitoring and automatic start systems, are further boosting user confidence and adoption rates. Moreover, the relatively lower upfront cost of gasoline gensets compared to diesel or natural gas alternatives makes them an accessible and cost-effective solution for a wide range of consumers.

The North American market is also benefitting from a well-established distribution network and the availability of after-sales services, which enhances customer satisfaction and encourages repeat purchases. In addition, the market is witnessing increased activity from key players launching new models tailored for the North American consumer, including compliance with EPA emission standards. As demand for power reliability grows in parallel with concerns over climate-related disruptions and energy insecurity, the North American gasoline gensets market is expected to maintain a strong upward trajectory over the coming years. This growth is further bolstered by a general trend towards energy independence, where households and businesses seek greater control over their electricity supply, particularly during periods of grid failure or high demand charges. Collectively, these dynamics are positioning North America as a leading regional market for gasoline gensets, offering sustained opportunities for manufacturers, distributors, and service providers alike.

Emerging region:

South America is the emerging region in Gasoline Gensets Market. The gasoline gensets market in South America is experiencing significant growth, driven by a confluence of factors unique to the region's emerging economies. A primary driver is the persistent instability of power grids across several countries, leading to frequent outages that disrupt residential, commercial, and industrial activities. This unreliability has heightened the demand for dependable backup power solutions, positioning gasoline generators as a preferred choice due to their portability, ease of use, and relatively lower initial investment compared to other generator types.

In nations like Bolivia and Argentina, fuel shortages and logistical challenges have further underscored the necessity for alternative power sources, with gasoline gensets offering a practical solution to bridge the energy gap. Additionally, the region's susceptibility to natural disasters, such as floods and earthquakes, necessitates robust emergency power systems, further propelling the adoption of gasoline generators. The ongoing expansion of infrastructure projects, including the development of transportation networks and healthcare facilities, particularly in remote and underserved areas, has also contributed to the increased demand for portable and reliable power solutions.

Government initiatives aimed at rural electrification and improving energy access have created favorable conditions for the proliferation of gasoline gensets. As South American countries continue to urbanize and industrialize, the need for consistent and accessible power sources will likely sustain the growth trajectory of the gasoline gensets market in the region.  

Recent Developments

• In February 2023, Cummins Inc. introduced two new natural gas standby generator sets—175kW and 200kW—designed for North American customers. These models are part of Cummins' ongoing investment in sustainable technologies under its Destination Zero initiative, aiming for zero emissions across its product line. The new generator sets deliver industry-leading power density, exceptional performance, and reliable operation to meet diverse power requirements.
• In October 2024, HIMOINSA launched its Yanmar-powered HGY series generators, offering power capacities ranging from 1250kVA to 3500kVA, with plans to extend this range up to 4,000kVA. Powered by Yanmar's GY175L engine family, these generators feature 12- and 16-cylinder models, with future developments including 20-cylinder engines, all equipped with electronic controls. This launch emphasizes HIMOINSA's commitment to environmental responsibility, supporting customers in achieving Net Zero emissions. 
• In April 2025, Honda unveiled its Next Generation Fuel Cell Module at the Advanced Clean Transportation Expo in North America. Scheduled for production in 2027, this module halves production costs, doubles durability, and triples volumetric power density compared to the current model. Honda seeks business partners to expand hydrogen-powered products, supporting its 2050 carbon neutrality goal. David Perzynski emphasized Honda’s commitment to hydrogen-driven zero-emission solutions across sectors.
• In December 2024, Caterpillar launched the Cat G3500K series gas generator sets, delivering reliable, fast-response, and high-efficiency power for prime and continuous applications. The first model, G3520K HR, offers 2.5 megawatts continuous power, available in 50 and 60 hertz. It starts, reaches full load, and syncs to the grid in 4.5 minutes—faster than previous models—minimizing downtime and providing immediate utility capacity. Additional models will launch next year.
• In June 2024, Generac Power Systems acquired PowerPlay Battery Energy Storage Systems, a division of SunGrid Solutions Inc., specializing in turnkey battery energy storage solutions for commercial and industrial projects up to 7 megawatt-hours. This acquisition enhances Generac’s product ecosystem, focusing on resilience, efficiency, and sustainability. SunGrid’s CEO, Jody Snodgrass, highlighted the move allows SunGrid to concentrate on utility-scale engineering and construction, fueling growth and innovation.
• In May 2024, Briggs & Stratton Energy Solutions enhanced its 26kW PowerProtect™ Home Standby Generator, now offering 65.6kVA motor starting power—68% more than competitors—and 7% greater natural gas output with NGMax™ technology. Designed for natural gas and liquid propane, it suits over 70% of U.S. homes with natural gas access. The generator comes with an extended seven-year comprehensive warranty, with a 10-year dealer-exclusive option for added peace of mind.

Key Market Players

• KOHLER Co.
• Cummins Inc.
• General Electric Company
• Caterpillar Inc.
• Generac Holdings Inc.,
• FIRMAN
• DuroMax Power Equipment
• Deere & Company
• Atlas Copco Group
• Briggs & Stratton, LLC

Report Scope:

In this report, the Global Gasoline Gensets Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Gasoline Gensets Market, By Type:

o   Open-Frame Generators

o   Enclosed Generators  

• Gasoline Gensets Market, By Fuel Consumption:

o   Low Consumption

o   Medium Consumption  

• Gasoline Gensets Market, By End-User:

o   Industrial

o   Commercial

o   Residential

• Gasoline Gensets Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia-Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

§  Kuwait

§  Turkey

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Gasoline Gensets Market.

Available Customizations:

Global Gasoline Gensets Market report with the given Market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional Market players (up to five).

Global Gasoline Gensets Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]