The Personal Watercraft/Jet-ski Market size was valued at USD 2.544 billion in 2023, according to Power Systems Research, and is estimated to register a CAGR of 5.44% between 2024 and 2032.
Market Trends. Manufacturers are investing in developing PWCs made of environmentally friendly materials and e-powered personal watercraft that are cleaner and more efficient.
Manufacturing. There have been many product improvements made recently and more are under development.
- PWC components made of flax plants.
- An engine made of cellulose non-fiber reinforced resin, helping it achieve its carbon-neutrality goals.
- Electric watercraft developed to reduce emission levels, support longer run times and require limited charging infrastructure.
- Solar segments, which is expected to provide higher environmental benefits than electric-operated ones.
- Customization and personalization of watercrafts.
- Changing the engine, color, accessories, and adding or remove any other components, as per their choice
- Rental and sharing watercrafts provide flexibility of using watercrafts when needed, without owning them.
Growth Drivers. Several factors are pushing the growth of the PWC segment.
- Increasing R&D and product innovation investments provide technological advancements which enhance performance and safety.
- Growing government plans for the tourism industry encourage coordination between manufacturers and tour operators to develop new technologies.
- Expanding rescue operations/coastal patrolling programs enable rescue teams use PWCs to navigate in rough waters.
- Increasing popularity of water sports events increase the demand for high performance vehicles for competition. There’s also a growing trend towards outdoor activities.
Industry Challenges. The PWC industry is not without challenges. For example, there are
- Substantial expenses associated with owning and operating a PWC. Repair and maintenance costs such as insurance and storage can be expensive. It’s difficult and often expensive to keep a PWC in optimal condition, given the growing complexity of PWC technology
- Environmental Concerns. Irresponsible PWC use can cause increased emissions, noise concerns, disturbance to natural marine habitat, and fuel spills in water bodies leading to water pollution. To avoid such issues, jet skis based on renewable energy and regulations are expected to gain traction.
The PWC Market is poised for growth and growth factors include increasing participation in water sports, expanded government use of PWCs, and innovative new products. Key industry players are focusing on product development and strategic partnerships to meet the evolving needs of consumers. Additionally, the growing popularity of water sports events and competitions is creating a favorable environment for market expansion. PSR
Michael Aistrup is Senior Analyst at Power Systems Research
