Small Gas Engines Market Size and Outlook 2031

Report Description

Forecast Period	2027-2031
Market Size (2025)	USD 4.28 Billion
CAGR (2026-2031)	3.98%
Fastest Growing Segment	Lawnmower
Largest Market	North America
Market Size (2031)	USD 5.41 Billion

Market Overview

The Global Small Gas Engines Market will grow from USD 4.28 Billion in 2025 to USD 5.41 Billion by 2031 at a 3.98% CAGR. The Global Small Gas Engines Market is defined by the production and sale of low-displacement internal combustion engines, typically under 25 horsepower, which are utilized in outdoor power equipment such as lawn mowers, trimmers, and portable generators. The primary drivers supporting market growth are the sustained demand from the residential and commercial landscaping sectors, which require high-torque and mobile power solutions for grounds maintenance. Additionally, increasing grid instability has necessitated the acquisition of backup power generation units, further reinforcing the reliance on these traditional fuel-based engines for reliable off-grid energy.

However, a significant challenge impeding market expansion is the intensifying regulatory environment regarding exhaust emissions and noise pollution, which is accelerating the transition toward battery-electric alternatives. This regulatory pressure creates an existential threat to the long-term dominance of gasoline-powered units as governments incentivize cleaner technologies. According to Comagarden, in 2025, the market for gardening and green maintenance machinery in Italy maintained a stable performance with approximately 1.36 million units sold during the 2024 fiscal year.

Key Market Drivers

The growing demand for landscaping and outdoor power equipment serves as a foundational pillar for the small gas engines market, particularly within the commercial sector where high-torque, long-runtime machines are essential for grounds maintenance. Professional contractors and municipalities rely heavily on gasoline-powered lawn mowers, turf equipment, and trimmers due to their established refueling infrastructure and power density compared to emerging alternatives. This segment's substantial scale is evident in the financial performance of major industry players. According to The Toro Company, December 2024, in the 'Fourth-Quarter and Full-Year Fiscal 2024 Financial Results', the professional segment achieved net sales of $3.56 billion for the fiscal year. This figure underscores the enduring reliance on combustion-engine equipment for heavy-duty landscape operations despite continued market fluctuations.

Simultaneously, the increasing need for portable power generators due to grid reliability issues is aggressively driving market momentum, as extreme weather events and aging infrastructure necessitate robust backup solutions. Consumers and businesses are accelerating their acquisition of small gas engine-powered generators to ensure continuity during prolonged blackouts, creating a surge in unit shipments. According to Generac Holdings Inc., October 2024, in the 'Third Quarter 2024 Results', net sales increased to $1.17 billion, primarily driven by strong shipments of home standby and portable generators in response to elevated power outage activity. This trend highlights the critical role of small gas engines in decentralized energy security. On a broader scale, the sheer volume of equipment in circulation remains vast; according to Honda Motor Co., Ltd., in 2024, the company's Power Products business recorded total global sales of 3.81 million units for the fiscal year, reflecting the continued global ubiquity of these engines.

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Key Market Challenges

The intensifying regulatory environment regarding exhaust emissions and noise pollution constitutes a formidable challenge impeding the growth of the Global Small Gas Engines Market. Governments are increasingly enforcing stringent environmental standards that necessitate costly engine modifications to lower carbon output and decibel levels. Furthermore, the implementation of local ordinances banning the use of loud, gas-combusting equipment in specific zones restricts market access and discourages adoption by commercial and residential users. This regulatory landscape not only inflates manufacturing expenses but also actively funnels demand toward compliant battery-electric alternatives, thereby reducing the reliance on traditional internal combustion engines.

This contraction in the gas-powered segment is substantiated by recent market performance figures. According to FederUnacoma, in 2025, the market saw a specific decline in internal combustion machinery, where sales of gas-powered lawnmowers and brush cutters decreased by 6.4% and 5.7% respectively compared to the previous period. Moreover, gas-powered chainsaws recorded a sharp volume reduction of 18.2% during the same timeframe. Such statistics demonstrate that the regulatory push for sustainability is directly translating into reduced sales volumes for small gas engines, significantly hampering overall market expansion.

Key Market Trends

The Expansion of Dual-Fuel and Propane-Powered Engine Options is reshaping the market as consumers increasingly prioritize energy resilience. Users are rapidly shifting toward engines capable of running on liquid propane or natural gas, which offer cleaner combustion and prolonged fuel stability compared to traditional gasoline. This trend is dominating the home standby generator segment, where fuel flexibility ensures continuous operation during extended grid failures without the need for frequent refueling. This demand surge is quantified by recent sales performance. According to Generac Holdings Inc., February 2025, in the 'Fourth Quarter 2024 Results', residential product sales increased by 28% to $743 million compared to the prior year, driven primarily by strong shipments of standby generators in response to elevated outage activity.

Simultaneously, a distinct Focus on Rental-Optimized Engine Durability Features is emerging to satisfy the rigorous requirements of commercial fleet operators. Manufacturers are engineering engines with reinforced components and extended maintenance intervals to withstand the high-cycle usage typical of rental and light industrial environments. This trend prioritizes total cost of ownership over initial price, sustaining demand for premium internal combustion units in specialized sectors such as utility vehicles and golf cars. This resilience in the fleet sector is reflected in recent financial data. According to Yamaha Motor Co., Ltd., February 2025, in the 'Consolidated Business Results for the Full Fiscal Year 2024', revenue for the company's Other Products segment grew to 97.6 billion yen, a 4.1% increase driven by robust demand in North America.

Segmental Insights

The Lawnmower segment is experiencing the most rapid growth within the Global Small Gas Engines Market, primarily driven by the rising demand for professional landscaping and residential gardening services. This expansion is supported by the continued reliance on gas-powered engines for heavy-duty applications, which offer superior torque and operational duration compared to battery-powered alternatives. Additionally, adherence to emission standards established by the Environmental Protection Agency ensures these engines remain a compliant choice for commercial operators. Consequently, the necessity for high-performance equipment in maintaining extensive green spaces continues to accelerate the development of this specific segment.

Regional Insights

North America maintains a dominant position in the Global Small Gas Engines Market, primarily driven by substantial demand from the residential and commercial landscaping sectors. The region features a high rate of ownership for outdoor power equipment, such as lawn mowers and trimmers, necessitated by large property sizes and consistent maintenance requirements. Additionally, the construction industry relies heavily on these engines for powering generators and concrete mixers. This market stability is further reinforced by strict adherence to emission standards established by the United States Environmental Protection Agency, which governs the production of compliant engine units across the region.

Recent Developments

In October 2024, Rehlko, the independent company formerly known as Kohler Energy, launched the Command PRO 888 gasoline engine. This event marked the first major product introduction under the new corporate brand identity following its separation from the parent organization. The 800cc-class engine was engineered to provide superior power density and torque for commercial turf applications, such as professional zero-turn mowers. Featuring a compact design and an advanced mechanical governor system, the new model aimed to enhance productivity and durability for users in the professional landscaping and small gas engines market.
In October 2024, Honda India Power Products expanded its industrial engine lineup with the launch of the GX430 series. Designed to meet the rigorous demands of the construction and agricultural sectors, this new overhead valve gasoline engine offered a high output in the 14-horsepower class. The product was developed to power heavy-duty equipment, including concrete cutters and large sprayers, while maintaining high fuel efficiency and reliability. This launch reinforced the company's commitment to providing versatile and durable power solutions for original equipment manufacturers in the global small gas engines market.
In January 2024, Kubota unveiled a new 3.8-liter hydrogen engine at the LAMMA agricultural machinery show in the United Kingdom. Based on the company's established spark-ignition engine architecture, this four-cylinder power unit was engineered to generate 114 horsepower while eliminating carbon dioxide emissions during operation. The development represented a significant breakthrough in the manufacturer's research into sustainable propulsion technologies for industrial and agricultural equipment. By maintaining a footprint compatible with existing machinery, the hydrogen engine demonstrated a practical approach to decarbonization within the global market for small and medium-sized gas engines.
In January 2024, Kawasaki Motors Corp., U.S.A. introduced the RIDGE and RIDGE XR series of side-by-side vehicles, which featured a newly developed 999cc in-line four-cylinder engine. This product launch marked a significant expansion of the company's high-performance gasoline engine portfolio, targeting the premium recreational and utility off-road market. The liquid-cooled power plant was designed to deliver smooth power and high torque, specifically tailored for the demands of off-highway driving. This introduction highlighted the company's continued investment in advancing internal combustion engine technology for the outdoor power equipment and powersports sectors.

Key Market Players

Briggs & Stratton Corporation
Kohler Co.
Mitsubishi Heavy Industries, Ltd.
Honda Motor Co., Ltd
Fuji Heavy Industries
Kubota corporation
Generac Power Systems
Yamaha Motor Corp.
Kawasaki Heavy Industries
Kubota Corporation

By Engine Displacement	By Application	By Equipment	By Region
20-100cc 101-450cc and 451-650cc	Gardening Industrial Construction and Others	Lawnmower Chainsaw Portable Generator Pressure Washer and Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

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

Small Gas Engines Market, By Engine Displacement:

20-100cc
101-450cc and 451-650cc

Small Gas Engines Market, By Application:

Gardening
Industrial
Construction and Others

Small Gas Engines Market, By Equipment:

Lawnmower
Chainsaw
Portable Generator
Pressure Washer and Others

Small Gas Engines Market, By Region:

North America

United States
Canada
Mexico

Europe

France
United Kingdom
Italy
Germany
Spain

Asia Pacific

China
India
Japan
Australia
South Korea

South America

Brazil
Argentina
Colombia

Middle East & Africa

South Africa
Saudi Arabia
UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Small Gas Engines Market.

Available Customizations:

Global Small Gas Engines 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 Small Gas Engines 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]

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market

3.2. Overview of Key Market Segmentations

3.3. Overview of Key Market Players

3.4. Overview of Key Regions/Countries

3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Small Gas Engines Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Engine Displacement (20-100cc, 101-450cc and 451-650cc)

5.2.2. By Application (Gardening, Industrial, Construction and Others)

5.2.3. By Equipment (Lawnmower, Chainsaw, Portable Generator, Pressure Washer and Others)

5.2.4. By Region

5.2.5. By Company (2025)

5.3. Market Map

6. North America Small Gas Engines Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Engine Displacement

6.2.2. By Application

6.2.3. By Equipment

6.2.4. By Country

6.3. North America: Country Analysis

6.3.1. United States Small Gas Engines Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Engine Displacement

6.3.1.2.2. By Application

6.3.1.2.3. By Equipment

6.3.2. Canada Small Gas Engines Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Engine Displacement

6.3.2.2.2. By Application

6.3.2.2.3. By Equipment

6.3.3. Mexico Small Gas Engines Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Engine Displacement

6.3.3.2.2. By Application

6.3.3.2.3. By Equipment

7. Europe Small Gas Engines Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Engine Displacement

7.2.2. By Application

7.2.3. By Equipment

7.2.4. By Country

7.3. Europe: Country Analysis

7.3.1. Germany Small Gas Engines Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Engine Displacement

7.3.1.2.2. By Application

7.3.1.2.3. By Equipment

7.3.2. France Small Gas Engines Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Share & Forecast

7.3.2.2.1. By Engine Displacement

7.3.2.2.2. By Application

7.3.2.2.3. By Equipment

7.3.3. United Kingdom Small Gas Engines Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Share & Forecast

7.3.3.2.1. By Engine Displacement

7.3.3.2.2. By Application

7.3.3.2.3. By Equipment

7.3.4. Italy Small Gas Engines Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Share & Forecast

7.3.4.2.1. By Engine Displacement

7.3.4.2.2. By Application

7.3.4.2.3. By Equipment

7.3.5. Spain Small Gas Engines Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Engine Displacement

7.3.5.2.2. By Application

7.3.5.2.3. By Equipment

8. Asia Pacific Small Gas Engines Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Engine Displacement

8.2.2. By Application

8.2.3. By Equipment

8.2.4. By Country

8.3. Asia Pacific: Country Analysis

8.3.1. China Small Gas Engines Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Engine Displacement

8.3.1.2.2. By Application

8.3.1.2.3. By Equipment

8.3.2. India Small Gas Engines Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Engine Displacement

8.3.2.2.2. By Application

8.3.2.2.3. By Equipment

8.3.3. Japan Small Gas Engines Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Engine Displacement

8.3.3.2.2. By Application

8.3.3.2.3. By Equipment

8.3.4. South Korea Small Gas Engines Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Engine Displacement

8.3.4.2.2. By Application

8.3.4.2.3. By Equipment

8.3.5. Australia Small Gas Engines Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Engine Displacement

8.3.5.2.2. By Application

8.3.5.2.3. By Equipment

9. Middle East & Africa Small Gas Engines Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Engine Displacement

9.2.2. By Application

9.2.3. By Equipment

9.2.4. By Country

9.3. Middle East & Africa: Country Analysis

9.3.1. Saudi Arabia Small Gas Engines Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Engine Displacement

9.3.1.2.2. By Application

9.3.1.2.3. By Equipment

9.3.2. UAE Small Gas Engines Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Engine Displacement

9.3.2.2.2. By Application

9.3.2.2.3. By Equipment

9.3.3. South Africa Small Gas Engines Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Engine Displacement

9.3.3.2.2. By Application

9.3.3.2.3. By Equipment

10. South America Small Gas Engines Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Engine Displacement

10.2.2. By Application

10.2.3. By Equipment

10.2.4. By Country

10.3. South America: Country Analysis

10.3.1. Brazil Small Gas Engines Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Engine Displacement

10.3.1.2.2. By Application

10.3.1.2.3. By Equipment

10.3.2. Colombia Small Gas Engines Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Engine Displacement

10.3.2.2.2. By Application

10.3.2.2.3. By Equipment

10.3.3. Argentina Small Gas Engines Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Engine Displacement

10.3.3.2.2. By Application

10.3.3.2.3. By Equipment

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)

12.2. Product Launches (If Any)

12.3. Recent Developments

13. Global Small Gas Engines Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry

14.2. Potential of New Entrants

14.3. Power of Suppliers

14.4. Power of Customers

14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Briggs & Stratton Corporation

15.1.1. Business Overview

15.1.2. Products & Services

15.1.3. Recent Developments

15.1.4. Key Personnel

15.1.5. SWOT Analysis

15.2. Kohler Co.

15.3. Mitsubishi Heavy Industries, Ltd.

15.4. Honda Motor Co., Ltd

15.5. Fuji Heavy Industries

15.6. Kubota corporation

15.7. Generac Power Systems

15.8. Yamaha Motor Corp.

15.9. Kawasaki Heavy Industries

15.10. Kubota Corporation

16. Strategic Recommendations

17. About Us & Disclaimer

Report Description

Table of content

Figures and Tables

Frequently asked questions

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