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A V8 engine with displacement of 4,952 cm³ and maximum output of 350 horsepower was newly designed exclusively for the BF350, which features both high power achieved by abundant torque generated by its dedicated engine and low-vibration/low-noise operation realized by the adoption of a newly-designed crankshaft. The newly-designed crankshaft eliminated the need for a balancer to reduce vibration, realizing a simple outboard structure with enhanced durability and reliability.

The BF350 adopts VTEC, which has long been a popular feature of Honda automobiles and outboard motors as well, realizing both high power and excellent environmental performance. Moreover, fuel economy was further improved through the application of air-fuel ratio feedback control using an O₂ sensor and optimization of the shape of the gear case. Through these measures, the BF350 realizes top-level fuel economy in its class despite the fact that it is an outboard powered by regular gasoline.