Asia-Pacific Motor Home Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Asia-Pacific motorhome market is expected to register a CAGR of over 9%, during the forecast period (2020 - 2025).

Key Highlights

• Asia-Pacific is witnessing increasing demand for adventure camping as the number of camping grounds is increasing and along with that supportive plans from governments is expected to support the growth of the motorhome market during the forecast period.
• According to the Chinese government’s five-year plan around 4,000 campsites are to be developed by 2020, At the end of 2018 there were around 1300 campsites are there in China. Also, the Chinese car drivers are permitted to enjoy their caravans or motorhomes with a maximum permitted weight of up to 4.5 tonnes.
• Major motorhome manufacturers are adopting various advancements in their class C versions. One of the other trends witnessed in class C models is that the manufacturers are preferring large heavy-duty vehicle chassis for making their motorhome bulky by shifting out from the van chassis. Most of these larger versions are also diesel-powered, making them apt to pull a heavier load while being more fuel-efficient, compared to gasoline engines.
• Although the motorhome culture is in its nascent stage in most of the Asian countries as compared to European and North American countries. But these countries are sleeping giant with tremendous potential for growth in future.
• US Department of Commerce’s International Trade Administration estimate that the market volume in the field of motorhomes will increase to up to 300,000 new registrations by 2020.

Key Market Trends

Used motorhome sales is anticipated to hinder the market growth

The motor home is a luxury amenity and it is not accessible for every person. According to the RV Industry Association's March 2020 survey, the total wholesale RV Shipments registered in March 2019 about 38,015 units in March 2019, out of which only 4261 shipments were of motorhomes, contributing only 11% of the total RV shipments, owing to its expensive price.

A typical class A motorhome’s cost ranges between USD 60,000 to USD 500,000, while that of class B and class C ranges from USD 40,000 to USD 150,000. Used RVs of the United States and Europe are being sold in the regional market. As they offer more reliability at affordable prices. At a lower price, people get pleasure, performance, fuel efficiency, and practicality. Smaller motorhomes are preferred over bigger and bulkier, due to narrow roads or less availability of parking spaces. And smaller size results in less freight rates.

China and Japan will hold the major share in the Market

According to the Japan Recreational Vehicle Association, there were about 106,200 RVs in Japan at the starting of 2018. JRVA promotes RV culture through conducting interviews producing an original publication, novelty goods, and plans and manages tradeshows and camping car events in japan to expose more people to the pleasure of the RV culture. JRVA has constituted cooperation with administrative agencies, campgrounds, and leisure-related industries. For instance, JRVA established a user club named Kurumatabi Club, which introduced a You-yu Park service which allows users to take advantage of services and parking of member-hotels.

Elsewhere in China, Shanghai Auto, which is one of the largest motorhome producers in China is trying to construct a motorhome ecosystem in China. Shanghai Auto plan includes taking over the operation of campgrounds and providing rental business incorporation with tourist agencies for designing motorhome camping trips throughout China. RV2GO an RV rental app that also provides campground booking is popular with local consumers with a total of 1.1 million downloads. This app provides details on the types of activities available through motorhome, along with that it also provides useful tips on operating and maintaining an RV and shows campground information and the reservation process. The average price for a new RV unit of Shanghai Auto is around USD 65,000.

Competitive Landscape

The Asia-Pacific motorhome market is fragmented due to the presence of many local players and the increasing presence of global players in the region such as Thor Industries Inc, and Winnebago Industries, Inc. Many global players are forming joint ventures with local companies to increase their market presence and diversifying their product portfolio. Also, companies are incorporating the latest technologies in their motorhome to provide the best experience to the occupants. For instance,

• In 2018, Erwin Hymer Group entered into a joint venture with the Chinese Lingyu Group for manufacturing and sales of caravans and motorhomes the combined entity will be called as Luoyang Erwin Hymer-Loncen Caravan Co. LTD.
• In 2019, Winnebago Industries, Inc. entered into an agreement to acquire Newmar Corporation. Newmar is one of the leading manufactures of premium Class A luxury and Super C motorhomes.
• In 2019, Hymer launched its VisionVenture Concept, for this concept Hymer actually partnered with BASF for providing more than 20 innovative materials used in this camper van.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support