Motorcycle Market Size, Share and Growth Forecast for 2025-2032

Motorcycle Market Size and Share Analysis

According to the latest study by Persistence Market Research, the global Motorcycle Market is expected to grow with 4.1% CAGR during 2025 to 2032. The market size will grow from US$ 140.7 Bn in 2025 to US$ 186.4 Bn by 2032.

The global motorcycle market has experienced significant growth in recent years, reaching an all-time high of units sold in 2024. Urbanization, increased demand for efficient personal MOBILITY, and the growing popularity of electric motorcycles are key drivers of this expansion. Bikes are more common around the world than cars.

• The countries that have the most bike owners per household are Thailand (78%), Vietnam (86%), Indonesia (85%), Malaysia (83%), and China, 60% of households own a motorcycle, while in India, the rate is 47%.

Key Highlights

• Electric motorcycles are gaining popularity due to environmental concerns and government incentives.
• Leading manufacturers include Honda, Yamaha, Hero MotoCorp, Bajaj Auto, Kawasaki, and Suzuki.
• Demand for premium motorcycles is growing, especially in emerging economies.
• Motorcycles are being increasingly used for last-mile delivery services, for food and e-commerce delivery platforms.
• Adventure and Touring motorcycles are gaining traction among enthusiasts.
• Asia-Pacific holds the largest market share fueled by urbanization, affordability, and strong demand for two-wheelers.

Historical Growth and Course Ahead

Amid the Pandemic Motorcycle Market Grew at Significant Rate

The global motorcycle industry witnessed a CAGR of 3.7% in the historical period between 2019 and 2024. The motorcycle market in the Asia-Pacific region has experienced significant growth over the decades, driven by rapid urbanization, increasing disposable income, and rising demand for affordable personal transportation. Countries like India, China, Indonesia, and Vietnam have been the dominant markets. COVID-19 severely impacted the industry, causing factory shutdowns, supply chain disruptions, and a sharp decline in sales during 2020. Demand rebounded in 2021, as motorcycles became essential for contactless transportation and delivery services.

Rapid urbanization and Innovations in Designs is leading the way for Motorcycle Market

In the estimated timeframe from 2025 to 2032, the global motorcycle market is likely to showcase a CAGR of 4.1%. The market is set for growth, driven by changing consumer preferences, technological advancements, and sustainability efforts. Electric motorcycles (EVs) are a key trend as governments enforce stricter emissions regulations. Major manufacturers are focusing on battery technology and charging infrastructure to enhance performance and affordability. The Asia-Pacific region will lead demand due to urban congestion and rural adoption, while the rise of e-commerce and last-mile delivery services will further boost motorcycle sales, especially in developing markets.

In 2024, global motorcycle sales saw Honda lead with 19.4 million units, followed by Hero MotoCorp with 5.9 million, and Yamaha with 4.6 million, highlighting a strong performance for these brands.

Market Dynamics

Growth Drivers

Affordability and Innovations of Standard Bikes is Driving the Market Growth

Standard bikes are gaining popularity due to their affordability, fuel efficiency, and low maintenance, especially in emerging economies with growing disposable incomes. Their performance, agility, and ease of use make them popular with beginning riders. Advanced features such as anti-lock braking systems (ABS), Inertial Measuring Units (IMU), and enhanced suspension systems increase safety and comfort, boosting sales. Motorcycles are also more fuel efficient than other modes of personal transportation, making them a better alternative than scooters and three-wheelers. These elements contribute to the market's expansion and long-term growth.  

• Bajaj launched Platina 110 a commuter motorcycle known for its fuel efficiency, comfort, and affordability, featuring a 115.45cc engine, a 5-speed manual transmission, and a semi-digital instrument console.  

Market Restraining Factors

Growing Popularity of EV Motorcycles is Restraining the Growth of Conventional Bikes

The increasing popularity of e-bikes and e-scooters, fueled by environmental concerns and government incentives, is limiting the expansion of traditional engine motorcycles.  Many major two-wheeler manufacturers are moving their focus to electric versions, which might disrupt market dynamics.  Furthermore, safety concerns are a substantial impediment, as motorcyclists have a higher probability of fatal accidents than automobile drivers.  This perception of road safety issues frequently deters potential purchasers, limiting overall market expansion.  Despite these hurdles, manufacturers are working to improve rider safety and provide competitive electric alternatives to meet market demand.

Key Market Opportunities

Increasing Demand for Food Delivery Services and Ride-Sharing Options to Boost the Motorcycle Market

The demand for motorbikes is rising due to the growth of ride-sharing and food delivery services, especially in urban areas. Companies are increasingly using two-wheelers for last-mile deliveries, creating significant market opportunities. Additionally, ride-hailing offers a cost-effective transportation option, boosting motorbike sales. The trend towards electric motorcycles in delivery services is enhancing the adoption of EVs. As more consumers choose convenient, app-based mobility solutions, the motorcycle industry is poised for sustained demand in both developed and emerging markets.

• In 2023, Yulu provided 25,000 to 35,000 bikes to Zomato’s delivery partners, similary TVS supplied 10,000 e-scooters to Zomato.
• In 2024, Ola Electric launched the Gig and Gig+ electric scooters which are afoordable and aimed primarily at gig workers working with Apps such as Zepto, Zomato, Swiggy.

Country-wise Analysis

India stands as global powerhouse in Motorcycle Market

India leads the global motorcycle market where it accounts for around 40% of the market share globally, due to high demand for affordable two-wheelers, a growing middle class, and rural mobility needs. Major players include Hero MotoCorp, Honda, and Bajaj, with commuter bikes (100-125cc) remaining popular among fuel-conscious buyers.

The rise of electric motorcycles, supported by government incentives, is reshaping the industry, while premium brands like Royal Enfield, KTM, and Harley-Davidson are also gaining traction. With ongoing urbanization and infrastructure improvements, India's motorcycle market is set for long-term growth.

• In February 2025, Honda Motorcycle and Scooter India (HMSI) launched the all-new Honda NX200 in the Indian market. It is designed specifically for adventure enthusiasts; promising an exciting and thrilling ride.

Shift in the China’s Motorcycle Market Due To Strict Emission Regulations

China, once the largest motorbike manufacturer and consumer, is transitioning due to strict emission rules and the rise of electric mobility. While sales of conventional motorcycles are declining, the market for electric two-wheelers is growing, led by companies like NIU and Yadea. Big cities are moving toward e-bikes and scooters, while rural areas still use affordable commuter motorcycles. Chinese manufacturers are also expanding internationally, exporting to Latin America, Africa, and Southeast Asia, as China remains a major player in two-wheeler technology and production.

• In 2023, China's motorcycle sales reached approximately 15 million units, reflecting a stable market with a slight decline due to increasing urban restrictions and a shift towards electric two-wheelers.

Indonesia is Leading Motorcycle Market due to Heavy Urban Traffic Issues

Indonesia's motorcycle market is among the largest globally, with over 5.6 million units sold in 2023. Motorcycles are the preferred transportation mode due to their affordability, fuel efficiency, and urban traffic conditions.

• Bandung and Medan cities of Indonesia ranks among top 15 of Traffic Congestion Index. Motorcycles which are small, fast and agile serves as a well-suited mode of transportation to tackle traffic issues in the country.

Leading brands include Honda, Yamaha, and Suzuki, focusing on commuter bikes and scooters. The government's incentives for electric vehicles are boosting e-motorcycle adoption. Despite increasing competition, motorcycles remain essential for daily transport, driven by a growing middle class, rising e-commerce, and better infrastructure.

• Motorcycle sales in Indonesia surged by 19.5% in 2023, totaling 6,236,992 units, as semiconductor shortages eased.

Vietnam leading the Motorcycle adoption with more than 86% households owing motorcycle

Vietnam has one of the world's highest motorbike ownership rates, with more than 50 million registered motorcycles.  Motorcycles are the backbone of daily transportation, preferred for their low cost, mobility, and fuel efficiency.

Honda, Yamaha, and Piaggio dominate the market, with scooters being the most popular category. The government is actively encouraging electric two-wheelers, with companies such as VinFast driving EV adoption.  As urban congestion and pollution concerns develop, Vietnam's motorbike sector is steadily transitioning toward electric and sustainable mobility.

Category-wise Insights

Youth riders preferring Sports bikes as their first Motorcycle Purchase

Among the largest markets of India, Southeast Asia, and China, the young generation is one of major consumer in sales of new motorcycles. These generations usually go for advanced technologies, attractive looks and high engine capacity vehicles. Sports-bikes which fits perfectly for these purpose became one of the prominent choice of purchase.

The leading brands in sports category include Kawasaki Ninja, KTM Duke, and Yamaha R15, which are distinguished by their improved safety features, aerodynamic design, and high-performance engines. Track racing events, social media influence, and the growing motorsports culture all help this area. However, limiting considerations include increased fuel consumption, maintenance expenses, and insurance prices.

• The Honda CBR series gained popularity in Vietnam in 2023, while the KTM 390 Duke experienced record sales in India.

IC Engine is Leading the Global Market, as they are High-Performance Bikes

Motorcycles powered by internal combustion engines continue to dominate the global market, due to their excellent performance, low cost, and vast fuel infrastructure. Despite increased environmental requirements, advances in fuel efficiency, lower emissions, and engine technology keep these motorcycles relevant.

Consumers in emerging economies. the expansion of ride-sharing, logistics, and personal mobility solutions increases demand. To meet global sustainability objectives, manufacturers are developing lighter materials, hybrid technology, and alternative fuels.

• In October 2024, Honda Motorcycle and Scooter India (HMSI) launched India’s first 300cc flex-fuel bike. The CB300F Flex-Fuel motorcycle is equipped with a 293.52cc, oil-cooled, four-stroke, single-cylinder PGM-FI engine. It is compatible with up to E85 fuel, which consists of 85% ethanol and 15% petrol.

Cruiser Bikes Gaining Popularity Among Consumers

Consumers love cruiser bikes because they are stylish, beginner-friendly, also packed with motorbike accessories and advanced audio. Customers can readily modify their cruiser bikes. Because these bikes are large and bulky, it is simple to alter the ride. Cruiser motorcycles in the luxury market have resulted in global brand loyalty among buyers. Cruisers are the ideal bikes for long rides. These bikes allow you to ride during extended periods of time in a comfortable position. The low seat height improves comfort and confidence by enabling each leg to touch the ground, while the saddlebags add additional storage.

Competitive Landscape

The motorcycle market is highly competitive, with companies focusing on technological advancements, new model launches, and regional expansion to gain an edge. Innovations in fuel efficiency, safety features, and electric mobility are shaping competition. Manufacturers are investing in lightweight materials, smart connectivity, and autonomous riding technologies to attract customers. The rise of electric motorcycles has intensified rivalry, pushing brands to enhance battery performance and charging infrastructure. Additionally, strategic collaborations with ride-sharing services and delivery platforms are strengthening market presence. As consumer preferences evolve, continuous R&D and pricing strategies will determine long-term industry leadership.

Key Industry Developments

• In January 2025, Ducati announced to launch 14 new motorcycles in Indian Marketby 2025. This strategy reflects Ducati's commitment to expanding its footprint and offering a wider range of options to Indian enthusiasts.
• In March 2025, Harley launched its most powerful bike to date – with a $110,000 price tag featuring a 131 cubic-inch engine producing 153 horsepower.
• In March 2025, Royal Enfield unveiled plans to launch six new motorcycles, including the Guerrilla 450 and Classic 650.
• In March 2025, Ultraviolette Automotive introduced the Shockwave, an electric motorcycle priced at ?1.50 lakh. The bike features advanced technology, impressive range, and rapid charging capabilities, aiming to revolutionize India's electric two-wheeler market.

Motorcycle Market Industry Report Scope

Key Segments Covered in Motorcycle Industry

By Vehicle Type

• Standard
• Cruiser
• Sports
• Off-road
• Touring
• Scooter
• Mopeds

By Engine

• IC Engine Motorcycles
  • Up to 125cc Motorcycles
  • 125-200cc Motorcycles
  • 201-500cc Motorcycles
  • Above 500cc Motorcycles
• Electric Motorcycles

By Region

• North America
• Latin America
• Europe
• East Asia
• South Asia & Oceania
• Middle East & Africa

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