Concerns around weakening consumer demand are gaining momentum according to the NMMA’s (National Marine Manufacturers Association) Q2 2025 Marine Leadership Barometer.
The survey showed that 47% of respondents reported a cautiously optimistic view of the US recreational boating industry over the next 12 months, with boat and engine/propulsion manufacturers continuing to drive this sentiment.
But the survey also found an increasing percentage of respondents expect product demand to decline over the next 12 months, tempering expectations for broader market expansion.
More than a third of respondents view the next three months negatively, with 13% expecting a positive shift.
An improvement in economic conditions over the next 12 months is anticipated by 34% over the next 12 months and 45% of respondents foresee a short-term decline.
Persistent concerns
Expectations for improvement a year out remain limited at 39%, signalling persistent concerns about macroeconomic pressures, interest rates, and geopolitical disruptions.
The survey of executives across recreational boat, engine and accessory manufacturing sectors found that trade and economic policies remained the most common source of concern.
Uncertainty around tariffs, global supply chains, and regulatory shifts continued to pose challenges.
Tax and policy measures were viewed more favourably, with respondents who are optimistic citing their potential to stimulate investment and growth.
Discretionary purchases
NMMA says consumer confidence has remained fragile throughout the first half of 2025, with many Americans delaying discretionary purchases, including big-ticket items like boats, in favour of financial caution.
“Understanding these pressures can help manufacturers better align expectations and strategies with evolving market behaviour,” explained a spokesperson from NMMA.
“Additionally, ongoing inflation, elevated housing costs, and uncertainty around job security are weighing heavily on household budgets, particularly for middle-income families, which make up approximately 50% of US households, according to the Pew Research Center’s latest classification.”
