North America Small Gas Engine Market Report 2025–2033: Displacement & Use

North America Small Gas Engine Market Forecast 2025–2033

According to Renub Research North America Small Gas Engine Market is anticipated to reach US$ 2.11 billion by 2033, rising from US$ 1.5 billion in 2024, and registering a steady CAGR of 3.88% from 2025 to 2033. Growth is being driven by increasing adoption across residential, commercial, and industrial sectors, as well as ongoing advancements in compact engine technology. Equipment categories such as lawnmowers, trimmers, generators, pressure washers, chainsaws, and portable construction tools rely heavily on small gas engines, keeping demand stable despite the rise of battery-powered alternatives.

Continued investments in landscaping, infrastructure development, and mechanized agriculture are also shaping industry growth. Meanwhile, improved engine designs, greater fuel efficiency, and emissions compliance standards are accelerating modernization across the regional market.

North America Small Gas Engine Industry Overview

The North America Small Gas Engine industry is undergoing significant evolution, shaped by the expanding use of outdoor power equipment, agricultural tools, and construction machinery requiring compact, dependable power sources. Small gas engines—typically below 25 horsepower—are essential for equipment used in gardening, lawn maintenance, forestry work, emergency backup, and light construction.

Growth is underpinned by the rising popularity of mechanized tools among homeowners, professional landscapers, and contractors. Increasing residential construction activities, greater suburbanization, and the popularity of DIY home improvement trends continue to push demand for small gas-powered equipment. Industries such as agriculture and building maintenance rely on compact engines for portable and mobile tools, further supporting market expansion.

Technological advancements are transforming the performance and efficiency of small engines. Manufacturers are incorporating lightweight materials, improved carburetion systems, smart ignition technologies, and enhanced filtration mechanisms to extend engine life and reduce maintenance costs. Eco-friendly designs and hybrid engine innovations also reflect the industry's shift toward sustainability. Smart control systems and electronic fuel injection (EFI) technologies are increasingly being integrated to improve performance precision and fuel economy.

Moreover, stringent environmental regulations from agencies such as the U.S. Environmental Protection Agency (EPA) have compelled manufacturers to reduce emissions and enhance combustion efficiency. Despite rising competition from electric and battery-powered equipment, small gas engines remain indispensable for heavy-duty, continuous-use, and high-power applications where alternatives still struggle to match performance and runtime.

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Key Factors Driving the North America Small Gas Engine Market Growth

Expansion of Landscaping and Construction Activities

The landscaping and construction sectors play a central role in fueling demand for small gas engines across North America. Outdoor power equipment such as lawnmowers, leaf blowers, aerators, and compact construction tools remain heavily dependent on gas-powered engines due to their superior torque, mobility, and reliability.

Homeowners increasingly emphasize lawn maintenance and home improvement, helped by the rising popularity of gardening as a recreational activity. Residential development projects across suburban areas create consistent demand for landscaping tools, while commercial establishments require regular property upkeep.

Similarly, small-scale construction activities involving portable tools—such as concrete mixers, compactors, and portable cut-off saws—strengthen market growth. The shift toward professional landscaping services and the growing number of commercial green spaces further expand the scope of gas engines. Manufacturers are responding by developing small engines with superior power-to-weight ratios, easy-start mechanisms, low vibration, and improved durability.

Advancements in Engine Technology and Performance Efficiency

Innovations in engine design, combustion dynamics, and emissions control represent major growth catalysts for the market. Manufacturers are enhancing engine components and integrating compact technologies that boost operational efficiency while reducing environmental impact.

Key technological developments include:

·        Electronic Fuel Injection (EFI) for improved fuel efficiency and smoother operation

·        Smart ignition systems enabling easy engine start in diverse environmental conditions

·        Enhanced air filtration extending engine life

·        Lightweight alloys and composites for improved portability

·        Hybrid engine designs combining gas and electric components for better efficiency

Compliance with EPA regulations has accelerated the production of cleaner, low-emission engines. As consumers increasingly prefer reliable, low-maintenance, and energy-efficient equipment, manufacturers that innovate around sustainability and performance are gaining competitive advantage.

Growing Demand for Reliable Portable Power Solutions

Small gas engines remain essential in scenarios requiring portable, uninterrupted power. This includes:

·        Emergency backup generators used during power outages

·        Camping, outdoor recreation, and off-grid activities

·        Mobile construction tools such as compressors and portable saws

·        Agricultural applications such as sprayers, tillers, and irrigation pumps

As climate-related disruptions increase, demand for emergency portable generators continues to rise. Gas engines provide superior runtime and power consistency compared to battery alternatives, making them the preferred choice for heavy-duty or extended-use applications. This versatility and reliability continue to push market adoption across residential, commercial, and agricultural sectors.

Challenges in the North America Small Gas Engine Market

Stringent Emission Regulations and Environmental Concerns

Environmental regulations present a major challenge for small gas engine manufacturers. The U.S. EPA has implemented rigorous emission standards focusing on reducing nitrogen oxides, hydrocarbons, and particulate matter. Compliance requires redesigning engines and integrating advanced catalytic converters and combustion-enhancing technologies.

Meeting these requirements increases manufacturing costs and complicates engine design. Meanwhile, consumer awareness of climate change and environmental impact is encouraging a shift toward cleaner alternatives. Gas engines are often criticized for contributing to noise pollution and CO₂ emissions, limiting their acceptance in eco-conscious markets.

Manufacturers must continue investing in R&D to meet emission standards without sacrificing performance. Balancing environmental responsibility with cost efficiency remains a complex undertaking.

Rising Competition from Electric and Battery-Powered Equipment

A major threat to the small gas engine market is the rapid growth of electric and battery-powered equipment. Enhanced lithium-ion battery technology, extended runtime capabilities, and government incentives promoting green technologies are accelerating adoption of electric alternatives.

Battery tools offer several advantages:

·        Zero emissions

·        Low noise

·        Minimal maintenance

·        Instant start and lightweight operation

These benefits appeal strongly to residential users and certain commercial segments. While small gas engines still outperform electric tools in heavy-duty, high-power tasks, the latter’s technological advancements continue to erode gas engine dominance.

Manufacturers must adapt by offering hybrid models, improving fuel efficiency, or diversifying into electric equipment to remain competitive.

North America Small Gas Engine Market Overview by Regions

United States Small Gas Engine Market

The United States dominates the North America small gas engine market due to high adoption of outdoor power equipment, widespread residential landscaping practices, and significant public infrastructure investments. Lawn care is a major cultural trend in the U.S., supporting strong demand for mowers, trimmers, and leaf blowers powered by small gas engines.

The construction sector also relies on compact gas-powered tools for portability and consistent output. EPA emission standards have influenced manufacturers to innovate toward cleaner, more efficient engine models. Additionally, the surge in DIY home improvement activities and frequent use of portable generators during weather-related outages continue to support demand.

Although electric tools are gaining traction, the U.S. market still depends heavily on gas engines for high-performance applications. Technological upgrades and hybrid engine alternatives ensure the continued relevance of small gas engines in key use cases.

Canada Small Gas Engine Market

The Canadian market is expanding steadily, supported by increasing adoption of compact engine-powered equipment in landscaping, forestry, snow management, agriculture, and construction. Seasonal climate conditions in Canada drive consistent demand for snowblowers, portable generators, and heavy-duty outdoor power equipment.

Urbanization and suburban development are leading to rising residential lawn maintenance activities. Fuel-efficient, durable, and low-emission engines are in high demand as Canada places strong emphasis on environmental sustainability. Replacement needs for aging machinery also support market growth.

While electric equipment poses competition, the enduring need for high-powered, long-duration engines ensures stable demand for small gas engines across residential and commercial sectors.

Market Segmentations

By Engine Displacement

·        20–100cc

·        101–450cc

·        451–650cc

By Application

·        Gardening

·        Industrial

·        Construction

·        Others

By Equipment

·        Lawnmower

·        Chainsaw

·        Portable Generator

·        Pressure Washer

·        Trimmer

·        Edger

·        Others

By Country

·        United States

·        Canada

Key Companies Covered

·        Briggs & Stratton Corporation

·        Kohler Co.

·        Honda Motor Co., Ltd.

·        Yamaha Motor Corp.

·        Kawasaki Heavy Industries

·        Kubota Corporation

·        Liquid Combustion Technology

·        Kipor Power

·        Champion Power Equipment