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Resources/Industry Reports & Benchmarking/Outdoor Power Equipment Industry Outlook

Updated monthly

Outdoor Power Equipment Industry Outlook

Where the economy is headed and what it means for outdoor power equipment dealers, distributors and manufacturers. OPEESA's monthly analysis is based on the economic outlook ITR Economics prepares for our members.

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Where things stand

The outlook as of October 2026

ITR Economics expects the US economy to keep growing through the rest of 2026, but unevenly. Spending tied to AI, data centers and defense is strong, while interest-rate-sensitive markets and household budgets are under pressure. ITR's long-term view calls for continued GDP growth in 2027 with manufacturing roughly flat, before broader growth returns in 2028.

For the outdoor power equipment channel, that points to a more selective consumer, a slow housing market and continued pressure on margins. The practical takeaway: plan 2027 volumes conservatively, keep a close eye on costs and inventory, and watch for an eventual turn in single-family housing. Read the October 2026 analysis.

What we watch for the OPE industry

Consumer spending on big-ticket items. Riding mowers, zero-turns and other financed equipment are among the first purchases to feel a squeeze on household budgets.
Housing. New homeowners drive first-time equipment purchases, so single-family housing starts and home sales are a leading signal for residential demand.
Interest rates. Rates shape both consumer financing and dealers' floor-plan costs on seasonal inventory.
Commercial and public construction. Nonresidential and public projects signal demand from commercial landscapers, contractors and municipalities.
Costs and pricing. Steel, energy, freight and labor costs drive manufacturer pricing and margins across the channel, and customers' willingness to accept increases.
Leading indicators. ITR's leading indicators give two to three quarters of warning before the economy changes direction.

ITR's long-term view

2026Growth

2027GDP growth; manufacturing flat

2028Growth

Source: ITR Economics, ITR Advisor for OPEESA, October 2026.

Read the full ITR reports

Employees of OPEESA member companies can sign in to read every monthly ITR Advisor issue.

ITR Economic Outlook Archive

Monthly analysis

Outlook articles, newest first

October 23, 2026

Outdoor Power Equipment Outlook: Bracing for a Flatter 2027

OPEESA's read on the October 2026 ITR Advisor: modest but uneven growth, stretched consumers and a flatter 2027 for manufacturing, and what it means for OPE dealers, distributors and manufacturers.

September 25, 2026

Outdoor Power Equipment Outlook: Higher Rates and a Two-Speed Consumer

OPEESA's read on the September 2026 ITR Advisor: a Federal Reserve rate hike, a consumer split by income, and why OPE businesses shouldn't count on 2026's volume growth repeating in 2027.

August 25, 2026

Outdoor Power Equipment Outlook: A More Selective Consumer

OPEESA's read on the August 2026 ITR Advisor: consumers are still spending but getting choosier, big-ticket purchases feel it first, and rising input costs make margin discipline a priority.

July 27, 2026

Outdoor Power Equipment Outlook: Rising Costs and a Split Consumer

OPEESA's read on the July 2026 ITR Advisor: restrained growth, cost pressure from higher oil prices, an uneven consumer and early signs that single-family housing could turn.

What is the outlook for the outdoor power equipment industry in 2027?

Based on ITR Economics' latest outlook, 2027 looks like a flatter year for manufacturing while the broader economy keeps growing modestly. For OPE businesses, that means planning for modest volumes, more selective consumers and continued cost pressure rather than assuming 2026's growth will repeat. The latest monthly analysis above has the current view.

Where does this outlook come from?

Each month ITR Economics, an independent economic research and forecasting firm, prepares the ITR Advisor for OPEESA. OPEESA reviews each issue and explains what it means for dealers, distributors and manufacturers.

How can I read the full ITR reports?

The full monthly reports are a member benefit. Employees of OPEESA member companies can sign in and open every issue on the ITR Economic Outlook page, or create a member login with a company email address.

What is OPEESA?

OPEESA, the Outdoor Power Equipment & Engine Service Association, is the trade association for distributors, manufacturers and affiliates in the outdoor power equipment channel. Learn about membership.

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