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DATAPOINT: Personal Watercraft, 2021 NA Production: 104200 Units
Power Systems Research forecasts that the number of personal watercraft produced in North America in 2021 will reach 104,200 units; an increase over 2020 levels of about 24%.
This forecast has been developed by Carol Turner, Senior Analyst – Global Operations, at Power Systems Research.
Transcript
Welcome to the PSR PowerTALK podcast produced by Power Systems Research.
00:06
From Power Systems Research I’m Joe Delmont, editor of PSR PowerTALK. Today we will discuss a data point covering personal watercraft production in North America this year.
This forecast has been developed by Carol Turner, Senior Analyst of Global Operations at Power Systems Research. Carol provides annual production forecasts for important equipment applications.
Personal watercraft, sometimes called PWC’s or jet skis, can accommodate up to four persons and are primarily designed for marine recreation, although they also are used for water patrols and industrial activities.
00:50
Jet skis hit rough times in recent years. Production of PWC’s in North America dropped 8700 units, or almost 10%, in 2020.
In 2019, North American production was 93,000 units. The next year production dropped to 84,250 units. Production was reduced in 2020 because of plant shutdowns and parts shortages caused by the pandemic.
While COVID caused plant closures, it also drove demand as consumers look for ways to spend their extra time and cash.
01:35
Things are looking much brighter this year than in 2020. Production this year is expected to surge 24% to about 104,000 units. This is based on high demand for recreational products like these watercraft.
01:53
The National Marine Manufacturer’s Association tells us that the boating industry is booming, and that demand is at a record high as Americans are spending more time on the water this summer.
The popularity of outdoor activities has increased in part because of the pandemic, where people are enjoying off-road riding in the dirt — on motorcycles and four wheelers, and on the water — in boats and personal watercraft.
Expect PWC production in North America to ride this wave and to increase up to 10% by 2025.
02:35
The leading personal watercraft manufacturers in North America are Yamaha, which has almost 50% of total North American production. In second position is BRP with 43 1/2%, and 3rd is Kawasaki with a distant 7%.
In announcing financial results recently, BRP said that its Sea-Doo sales for 2020 increased by 7% over the previous year. This, in spite of its Mexico plant having been shut down for two full months as a result of the COVID pandemic.
The company also noted that approximately half of all its Sea-Doos sold in 2020 were purchased by first time buyers. They’re typically younger, with a higher ratio of women, the company said.
Look for an electric personal watercraft from BRP in the next few years. The company recently announced plans to invest $300 million over the next five years to offer options to consumers; with electric models in each of its power sports and marine product lines by the end of calendar year 2026.
03:53
This data is pulled from two of the major Power Systems Research databases. OE Link is the database of OEM production and forecast data, and EnginLink — which provides engine production forecasts and specification data.
Look for data point reports every month in the PSR PowerTALK News report and on this podcast. Remember, to read a transcript of this podcast visit the PSR website at powersys.com and click on the podcast archive.
Contact us for more information on other marine products such as outboard motors and pleasure craft.
04:31
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PowerTALK™ News, July 2021
Download PDFIN THIS ISSUE is a report on global truck production that shows truck production growing by nearly 200% in Q2 2021. Read the Q2 2021 PSR Truck Production Index report in the July issue of PowerTALK™ News.
Here are more articles in this issue:
- Edge Computing Connects America
- North America: Strong Post-pandemic Economic Growth Seen
- DataPoint: North American Excavators
- Europe: HansYachts Group Reports ‘Exceptional Year’
- South America
- Chinese Great Wall Acquires Mercedes Facility
- Green Hydrogen Projects Developed in Brazil
- Tupy Developing Hydrogen Engine
- Taiwan: Acquisition May Create Powerhouse
- Japan: Sony Joins Komatsu DX Alliance
- South Korea: SK, LG To Build EV Battery Plant
- Indonesia: Sany Challenges Komatsu
- India: Second FAME II May Boost EV Demand
- Russia
- Russia To Suspend Auto Support
- KAMAZ Introduces Articulated Truck
- Sinara May Cut 20% of Workers
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DATAPOINT: NA Excavators, 2021 Production: 19,900 Units
19,900 units is the estimate by Power Systems Research of the number of Excavators to be produced in North America in 2021.
This information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers.
Market Share: With combined plant totals of 47.5% Caterpillar leads in production of excavators in North America. In second position is Doosan Bobcat with 22%; third, is Deere-Hitachi with 14.5%.
Exports: Collectively, up to 30% worldwide.
Trends: Excavators are heavy pieces of equipment designed for large scale projects for a variety of sectors that include construction, mining, and industrial activities. Despite the recent lull in production, excavators are a popular device for construction activities.
Production of excavators in North America decreased 9% in 2020, largely because the global pandemic made 2020 challenging across most industries. The off-highway segments (agricultural, construction and industrial) saw dramatic production drops in 2020 compared to 2019.
Another factor in the recent decline is the fact that purchasers are choosing backhoe loaders that are more versatile than excavators. Expect production to gain an additional 3% by 2025.
As fabrication has resumed, assembly is back on track for 2021 with an expected gain of 9% from last year to a total of about 19,900 units.
One example of the rebound: Doosan Bobcat North America, a global leader in the compact equipment industry, is celebrated the completion of a $26 million expansion at its manufacturing facility in Litchfield, Minn., in Q2 2021. The 15-month project nearly tripled the size of the facility, from 70,000 square feet of office and manufacturing space to nearly 200,000 square feet. PSR
Carol Turner is Senior Analyst, Global Operations, for Power Systems Research
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Q2 2021 Power Systems Research Truck Production Index (PSR-TPI) climbs 193.5%
Download PDF
St. Paul, MN (July 12, 2021)— The Power Systems Research Truck Production Index (PSR-TPI) increased 193.5% year-over-year (Q2 2020 to the Q2 2021), moving from 46 to 135. For the three-month period ended June 30, 2021, (Q1 2021 to Q2 2021) the TPI climbed 15.4%, increasing from 117 to 135.
The PSR-TPI measures truck production globally and across six regions: North America, China, Europe, South America, Japan & Korea and Emerging Markets.
This data comes from OE Link™, the proprietary database maintained by Power Systems Research.
Global Index. Overall, medium and heavy truck demand will finish the year on a strong note and continued strength is expected into 2022. On-going supply chain disruptions will continue to impact production throughout the rest of the year and possibly into 2022.
All Regions. Except for China, all regions are expected to experience solid commercial vehicle demand growth this year and into 2022. Chinese heavy truck demand is expected to decline this year primarily due to the implementation of the China VI emission regulations that adds cost to the vehicles but no significant improvement in fuel economy.
North America. In the United States, freight demand remains extremely strong and freight rates very high primarily due to high levels of consumer spending and the overall strong economy.
While the demand side is very strong the supply side is where the issues lie concerning medium and heavy truck production. The on-going issues with the supply chain are expected to continue for the remainder of the year and possibly into 2022 as OEM’s continue to have difficulty sourcing various components such as semi-conductors.
While the 2021 class 8 truck order boards are mostly filled and orders for next year are also expected to be strong, there are some concerns surrounding higher levels of inflation. On-going supply chain disruptions, worker shortages and possible negative effects from high levels of government spending could fuel higher inflation moving forward.
Europe. During the first four months of the year, European medium and heavy commercial truck registrations improved by 28.5% compared to the same period in 2020. Order bookings remain strong primarily due to an improved economy. However, Europe is facing the same problems as other regions with various supply chain disruptions. While sourcing of semi-conductors continues to be a problem, the EU’s proposal to extend the restriction on steel imports into Europe remains a point of concern. While most of the steel is sourced in the EU, imports are needed to fill in the gaps especially during periods of high vehicle demand.
South Asia. Medium and heavy commercial vehicle production in India is expected to reach 261,000 vehicles in 2021 which is an increase of 55% over last year. Moderate growth is also expected in 2022 and 2023 before declining in 2024 partially due to it being an election year. The medium and heavy truck segment will continue to face headwinds due to excess capacity in the market, increased rail freight usage, relative constant freight rate and booming fuel prices. Further, we are witnessing a change in product dynamics–the share of higher tonnage vehicles is rising. Because of this trend, fewer trucks will be needed to haul the same amount of freight.
South America. Medium and heavy commercial vehicle production is expected to increase by 36% this year over 2020 with truck production improving by 41%. Increased vaccinations and an overall improving regional and global economy are driving the growth in vehicle demand. However, continued supply chain disruptions are negatively impacting production and this trend is expected to continue throughout the remainder of the year.
Japan/Korea. Medium and heavy commercial vehicle production in Japan and South Korea is expected to increase by 16% this year over 2020. While South Korean production is expected to increase by 28% this year, Japan production continues to lag and is expected to improve by 14.8%. Japan has been hit particularly hard by the supply chain disruption. PSR expects continued volatility in this region throughout the remainder of the year.
Greater China. Heavy truck demand during the first half of the year was strong primarily due to a truck pre-buy ahead of the China VI emission standard implementation in July 2021. The cost of the emission technology for China VI vehicles is not offset with any significant improvement in fuel economy. The Heavy truck growth rate changed from positive in April to negative in May. Also, in May, the inventory of heavy trucks exceeded 300,000 units. Considering that June to July is the off-season, the short-term heavy truck sales are expected to experience downward pressure. The industry is currently expecting production of heavy trucks to be approximately 1.4 million which is a decrease of 14% compared with 2020.
The next update of the Power Systems Research TPI will be in October 2021 and will reflect changes in the TPI during Q3 2021. PSR
Chris Fisher is the senior commercial vehicle analyst at Power Systems Research
Jim Downey is vice president – global data products at Power Systems Research
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DataPoint 2021 UTV Production
Today, PSR PowerTALK Editor Joe Delmont presents the Power Systems Research 2021 North American Utility Vehicle production outlook. We estimate that North American wheel loader production this year will reach 440,100 units; about even with 2020 levels.
This forecast has been developed by Carol Turner, Senior Analyst – Global Operations, at Power Systems Research.
Transcript
Welcome to the PSR PowerTALK podcast, produced by Power Systems Research.
00:06
From Power Systems Research, I’m Joe Delmont, editor of PSR PowerTALK. Today we’ll discuss a data point covering 2021 utility vehicle production in North America.
This forecast has been developed by Carol Turner, Senior Analyst of Global Operations at Power Systems Research. Carol provides annual production forecasts for important equipment applications.
00: 34
Utility vehicles, sometimes called UTVs or side-by-side machines, can accommodate up to six passengers and are primarily designed for off-road use, although they can be used for industrial activities and as personnel carriers on campuses.
00: 54
UTVs are gaining in popularity because of their flexibility and power. And are replacing ATV’s in many cases because ATV’s generally are limited to two persons seated, one behind the other and aren’t as flexible as UTVs.
01:12
In 2021, we estimate that North American UTV production will reach 440,100 units, down about 400 units, or 9%, from the 440,500 units produced last year.
01:30
About 40% of US production is exported worldwide, up to 85% of Mexico’s UTV production is for North American markets and Canada exports about 90% of its small 1700-unit production.
01:48
In 2019, North American production was 424,800 units. Production climbed almost 16,000 units, or about 4% in 2020, to that 440,500-unit level we discussed. Despite negative COVID related factors, the pandemic actually fed the demand for utility vehicles from recreational and industrial uses to military applications.
02:19
This is known as the pandemic paradox, because sales surged during lockdowns. The popularity of outdoor activities has increased, in part because of the pandemic. And people are enjoying off-road riding in the comfort and safety that is provided by UTVs.
02:39
The growth also comes from stabilization of the overall economy. Demand for products in the golf industry, federal government incentives, and the desire for new equipment with greener technology, especially within the sport and utility sectors.
02:56
Expect UTV production in North America to increase up to 5% by 2025. The leading UTV manufacturers in North America are Polaris — which has 32% of total North American production with its plants in the US and Mexico, in second position is Deere — with combined plant totals of 11.5, third is Kawasaki with 11%, just edging out Honda by only about 125 units which also has 11%.
There are nearly two dozen other manufacturers of UTVs in North America — including Arctic Cat, Clubcar, Kawasaki, Textron, Toro, and Yamaha.
03:36
This data is pulled from two of the major Power Systems Research databases, OE Link — the database of OEM production and forecast data, and EnginLink — which provides engine production forecasts and specification data.
Look for data point reports every month in the PSR PowerTrack news report and on this podcast.
Contact us for more information on other off-road products, such as mixers and agricultural equipment.
04:22
Or Google “Power Systems Research” to sign up today.
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Datapoint: 2021 Grader
Today, PSR PowerTALK Editor Joe Delmont presents the Power Systems Research 2021 North American Grader production outlook. We estimate that North American grader production this year will reach 2325 units; up about 8% from 2020 levels. This forecast has been developed by Carol Turner, senior analyst-global operations, at Power Systems Research.
Transcript
Welcome to the PSR PowerTALK podcast, produced by Power Systems Research.
From Power Systems Research I’m Joe Delmont, editor of PSR PowerTALK. Today, we’ll discuss a data point covering grader production in North America for 2021.
This forecast has been developed by Carol Turner, Senior Analyst of Global Operations at Power Systems Research. Carol provides annual production forecasts for important equipment applications.
Motor graders are used worldwide to build and maintain roads, highways, airports and other construction projects.
00:44
In 2021, we estimate that North American grader production will reach 2525 units, up about 185 units, or 8%, from the 2340 units produced last year. About 30% of this production is exported worldwide.
In 2019, North American production was 2815 units; but production dropped sharply in 2020, plunging about 17% to only 2340 units.
01:24
The decline was driven by Tier 4 pre-buying incentives and the lull in activities that used graders that are predominantly road related.
01:34
Motor graders have a long lifespan and, as a result, demand for new machinery is not always necessary; even though construction related activities focusing on road construction are ongoing.
This product segment generally is not directly affected by COVID; however, with less roadway traffic, road construction can be expedited.
02:00
Expect grader production in North America to increase up to 10% by 2025. The leading grader manufacturers in North America are Deere — which has 59% of the total North American production, followed by Caterpillar — with 37%, and Wheeler — with two percent.
This data is pulled from two of the major Power Systems Research databases — OE Link, the database of OEM production and forecast data, and EnginLink, which provides engine production forecast and specification data.
Look for DataPoint reports every month in the PSR PowerTALK news report and on this podcast.
Contact us for more information on other off-road products, such as mixers and agricultural equipment.
02:59
Or Google “Power Systems Research” to sign up today.
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DATAPOINT: NA Harvesters, 2021 Production, 550 Units
550 units is the estimate by Power Systems Research of the number of Harvesters to be produced in North America in 2021. This information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers.
Market Share: Dominating the NA market for Harvester production is Deere with 50.5% of total units produced. In second position with combined plant total of 20% is Oxbo “International; third is Flory with 13%.
Trends: In 2020, production of Harvesters in NA decreased 17%. Production is expected to increase 19% in 2021 over 2020. The Ag industry has fluctuated over the years and demand for new products has declined. Due to falling commodity prices in recent years, farmers/cultivators can’t afford new equipment and have spent years of refurbishing existing units.
Uncertainties of COVID-related factors led farmers to avoid spending nominal profits on new machinery. Over the past several years, the dramatic fall in net farm income in 2015 and 2016 seems to be leveling out at a lower level. However, America’s farmers are enduring the impact of a continuation of the current trade war with China.
On the flip side, the harvester production increase is attributed to the desire for new machines to increase productivity and to end up with a profitable yield. Expect production to fluctuate over the next 3-5 years with a slight gain of 5% by 2025. PSR
Carol Turner is Senior Analyst, Global Operations, at Power Systems Research
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PowerTALK™ News, June 2021
Download PDFIN THIS ISSUE. Edge Computing is a developing concept that brings data and data processing closer to the application, closer to the edge, if you will. Read about it in the June issue of PowerTALK News.
Here are more articles in this issue:
- Edge Computing Brings Data Closer
- Listen To New PSR PowerTALK Podcasts
- PSR MHV Database Segment Upgraded
- North America: Hydrogen Fuel Cell Truck Happenings in Europe
- DataPoint: North American Harvesters
- Europe: Mercedes Grows in EV Bus Market
- South America
- Rio Plans 100% EV Buses by 2050
- Goods Transported in Brazil Climb in 2021
- Protests Affect Columbia Vehicles Market
- Taiwan: Next-Generation EV Battery Development Pushed
- Japan: Komatsu and Honda Jointly Develop EV Excavator
- South Korea: SK Plans To Develop Hydrogen Base in Ulsan
- Thailand: GWM Opens Smart Factory in Thailand
- India: Second Wave COVID Will Have Limited Impact on Ag
- Russia
- Rostselmash Starts Building Tractor Plant
- Aurus Car Powered by Hydrogen Created in Russia
- Tonar Shows First Articulated Dump Truck
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DATAPOINT: NA Skid Steer Loaders, 2021 Production Forecast: 95,100 Units
95,100 units is the estimate by Power Systems Research of the number of Skid Steer Loaders to be produced in North America (Canada and the U.S.) in 2021.
This information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers.
Market Share: With 36% of total units produced, Bobcat leads in production of Skid Steer Loaders in North America. In second and third positions are Case New Holland and Deere with 21% and 15%, respectively.
Exports: Collectively, up to 25% worldwide
Trends: In 2020, production of skid steer loaders in North America decreased 18% to 87,400 units from 106,500 units in 2019. Production is expected to recover about 9% in 2021 to 95,100 units. The decline in 2020 was caused mostly by COVID-19-related factors plus the new equipment saturation in the market and a slight drop in construction related activities.
The gain in 2021 is attributed to the need for new construction equipment and the overall stabilization of the economy, especially regarding the construction industry. As the construction industry continues to recover, construction will continue to be a key driver in overall industry growth.
Some softness in sales comes from the American agriculture industry that is sluggish as it continues to battle low commodity prices. The Agriculture Segment accounts for 29% of all Skid Steer usage in the market today. Expect production of Skid Steer Loaders in NA to increase up to 7% over the next 3-5 years. PSR
Carol Turner is Senior Analyst-Global Operations, at Power Systems Research
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PowerTALK™ News, May 2021
Download PDFIN THIS ISSUE. The May issue of PowerTALKTM News reports that gen-set sales in North America declined in Q1 2021 down 7.4% from Q4 2020 levels, according to the Power Systems Research PowerTrackerTM dealer and distributor survey of 200 respondents. This decrease follows three consecutive quarters in 2020 where dealers reported overall sales increases of 4.5% in Q2 2020 followed by 11.9% in Q3 2020 and 6.3% in Q4 2020.
Although sales were down 7.4% in Q1 2021, the results were unique in that there was a different story depending on the fuel and power range being considered.
Here are more items in the May 2021issue of PowerTALK™News:
- Power Systems Research Offers Truck Data
- Listen To New PSR PowerTALK Podcasts
- PSR MHV Database Segment Upgraded
- North America
- Expect Component Shortages
- Powersports Recreation Equipment Update
- DataPoint: North American Scooters
- Europe
- EV Buses Under Pressure
- Continental Sells To VW
- South America
- Muller Launches Off-Highway Truck
- VWCO Exports Grow 130%
- GE Announces LCV To Be Built in Brazil
- Taiwan: Draught Hits Many Areas
- Japan:
- Ship Fuel Efficiency Plan Announced
- Komatsu Shows Fully Electric Excavator
- South Korea: Doosan Recycles Plastic
- Vietnam: Vinfast Takes Orders for EVs
- India: Mahindra To Set Up Farm Equipment Plant
- Russia
- Russia Ag Machinery Exports Double
- GAZ Increases LCV Production
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