Canberra, December 18, 2025
Australia’s competition regulator has moved to block Yamaha Motor Australia’s proposed acquisition of boat manufacturer Telwater, warning the deal would substantially reduce competition in the wholesale market for outboard motors.
The Australian Competition and Consumer Commission (ACCC) said on Thursday that its in-depth investigation found the transaction was likely to result in higher prices, lower quality and fewer choices for consumers of outboard motors in Australia.
Telwater is the dominant manufacturer and supplier of aluminium trailer boats in Australia, with an estimated market share of between 60% and 70% through its Quintrex, Stacer and Yellowfin brands. Yamaha, meanwhile, is the country’s leading supplier of outboard motors.
“This acquisition is likely to significantly disadvantage rival outboard motor suppliers in competing effectively with Yamaha,” ACCC Commissioner Dr Philip Williams said.
The ACCC’s central concern is that a combined Yamaha–Telwater business would have both the ability and the incentive to leverage Telwater’s strong position in aluminium trailer boats to favour Yamaha outboard motors. The regulator said this could occur through bundling or tying strategies that pressure or incentivise dealers selling Telwater boats to also stock Yamaha motors.
The ACCC warned that such practices could prompt many dealers who currently sell Telwater boats alongside non-Yamaha motors to switch some or all of their purchases to Yamaha. This, in turn, would likely reduce wholesale sales opportunities for competing motor suppliers and increase their distribution costs.
“As a result, competing outboard motor suppliers that lose access to the Telwater dealer network would likely face significant difficulty and increased costs in re-establishing or expanding their presence in Australia,” Dr Williams said.
The regulator concluded that these effects would be likely to substantially lessen competition in a national market for the wholesale supply of outboard motors, with potential additional concerns in certain local markets.
Yamaha is seeking to acquire 100% of Telwater from Bombardier Recreation Products, along with a manufacturing and warehousing property in Coomera, Queensland. The ACCC had previously flagged its concerns in a Statement of Issues released in October 2025.
The ACCC said aluminium trailer boats and outboard motors are complementary products that are often purchased together, making the risk of anti-competitive linking strategies particularly relevant in this case. Bundling could involve offering discounted packages of Telwater boats with Yamaha motors, while tying could require dealers purchasing Telwater boats to also become Yamaha motor dealers and restrict them from selling rival brands.
The regulator’s decision to oppose the transaction has been recorded on its public mergers register.
Source: https://www.accc.gov.au/media-release/accc-opposes-yamahas-proposed-acquisition-of-telwater
