Two-wheeler Market Size, Share, Growth Strategies & Trends, 2026-2034

Market Overview
According to Fortune Business Insight, The global two-wheeler market is driven by the rising need for urban mobility and growing traffic congestion across the globe. In densely populated areas, two-wheelers offer a convenient mode of transportation, allowing riders to navigate through traffic and find parking efficiently. The market is also supported by the affordability of two-wheelers compared to four-wheeled vehicles. Asia Pacific dominated the global market with a share of significant value, with the regional market size reaching USD 82.35 billion in 2024.
Fortune Business Insights™ has deep-dived into these insights in its latest research report, titled “Two-Wheeler Market, 2025-2032.”
The analysis shows that the market is transitioning toward electrification, although the lack of charging infrastructure remains a hurdle in developing economies. Initiatives such as the Indian government’s push for battery swapping policies and decarbonization are expected to create lucrative opportunities in the near future.

Major Players Profiled in the Market Report:
• Honda Motor Co., Ltd. (Japan)
• TVS Motor Company Ltd. (India)
• Bajaj Auto Ltd. (India)
• Yamaha Motors Co. (Japan)
• Suzuki Motor Corporation (Japan)
• Triumph Motorcycles (U.K.)
• Bayerische Motoren Werke (BMW) AG (Germany)
• Harley-Davidson, Inc. (U.S.)
• Hero MotoCorp Ltd. (India)
• Kawasaki Motors Corp. (Japan)

Segments
Scooters Segment to Grow at the Highest CAGR owing to Urban Mobility and Traffic Congestion
Based on type, the market is categorized into scooters, motorcycles, and mopeds. The scooters segment is expected to grow at the highest CAGR due to its affordability and convenience in traffic-congested cities. Meanwhile, the motorcycles segment held the largest market share in 2024, serving as a primary mode of transportation in developing countries due to better fuel efficiency and lower operational costs.

Below 125cc to Take Leading Position Owing to Its Cost-Effectiveness
Based on engine displacement, the market is divided into below 125cc, 126cc – 155cc, 156cc – 200cc, 201cc – 500cc, and above 500cc. The below 125cc segment captures the majority market share, attributed to higher fuel efficiency and cost-effectiveness, appealing to budget-conscious consumers. The above 500cc segment is growing steadily, driven by sport and adventure touring demand.

ICE Led in 2024 Owing to Its Demand in Developing Regions
In terms of propulsion, the market is divided into electric and internal combustion engine (ICE). The ICE segment dominated the market in 2024 due to established refueling infrastructure and consumer familiarity. However, the electric segment is growing as leading players plan to launch new models in untapped markets to grab early revenue opportunities.

Geographically, the market is studied across North America, Europe, Asia Pacific, Latin America, and the Rest of the World.

Source: https://www.fortunebusinessinsights.com/two-wheeler-market-106884

Report Coverage
The report offers:
• Major growth drivers, restraining factors, opportunities, and potential challenges for the market.
• Comprehensive insights into regional developments.
• List of major industry players.
• Key strategies adopted by the market players.
• The latest industry developments include product launches, partnerships, mergers, and acquisitions.

Drivers & Restraints
Rapid Urbanization Coupled with Urban Traffic Congestion to Drive Market Growth
The rapid increase in urban population, which is expected to reach nearly 68% of the world population by 2050, is a major driver. Increasing demand for compact mobility solutions like two-wheelers in both developed and developing economies is fueled by road congestion and a lack of parking spaces associated with urbanization.

However, rising cases of explosions of electric two-wheeler batteries are hindering market growth. Safety concerns regarding battery fires have led to vehicle recalls by manufacturers in regions like India, plummeting sales and affecting consumer confidence.

Regional Insights
Urbanization and Traffic Congestion Drive Asia Pacific Dominance
Asia Pacific dominates the global two-wheeler market (USD 82.35 billion in 2024). The region’s growth is fueled by rapid urbanization and the need for cost-effective, quick transportation in populated nations like China, India, and Indonesia.

North America's growth is characterized by recreational riding and touring, while Europe is seeing rising demand for electric vehicles due to environmental regulations. Latin America is driven by government incentives, and the Rest of the World is seeing growth due to the rise of last-mile delivery businesses.

Two-Wheeler Market Future Growth:
The two-wheeler market is poised for transformation through the development of EV charging infrastructure, which will create lucrative opportunities in the near future. While the Asia Pacific region dominates, the penetration of electric two-wheelers is accelerating due to government initiatives, such as India's focus on battery swapping policies. Global players like Ather, OLA, and Honda are planning new electric models to cater to this shift. The market is also seeing a rise in sport and adventure biking in the premium segments, alongside a strong push for green mobility solutions globally.

Competitive Landscape
Research & Development Activities will Provide Competitive Edge to Market Players in the Industry
The market features prominent players like Honda, TVS, and Bajaj Auto. These key players are investing heavily in research and development, product differentiation, and mergers and acquisitions to gain a strong foothold. A focus on electrification and expanding into emerging markets remains a core strategy for maintaining momentum.

Key Industry Development
• May 2024: Honda R&D (India) Private Limited opened its new Solution R&D Center in Bengaluru, Karnataka.
• December 2023: Triumph Motorcycles unveiled the TF 250-X, boasting a top-tier power-to-weight ratio.
• January 2023: TVS Motor Company launched the TVS Metro Plus 110 in Bangladesh with renewed styling and safety features.