Global marine gensets market forecast is anticipated to be significantly positive over the coming years owing to ongoing technological advancements in the industry in terms of engine modification, to achieve improved performance as well as effective reduction in engine noise. Consistent advances in technology have also transformed shipping into an extremely quick and efficient method of transportation. Increasing investments in shipbuilding coupled with the growth of seaborne transport, which is fueled by rising interregional trade practices, will propel marine generators industry outlook over the projected timeline.
Europe Marine Gensets Market Size, By Application, 2018 & 2025 (USD Million)
Mounting concerns over the effects of marine sulfur emissions on health as well as the environment along with increasing R&D activities focused on fuel efficiency will boost product penetration. Over the last century, the shipping industry has witnessed tremendous surge in total trade volume driven by rapid industrialization. Rising inclination of shipowners towards the adoption of eco-friendly fuels to minimize the emission of harmful gases and reduce their carbon footprint is further expected to stimulate marine gensets industry growth over the analysis period.
Developing economies, mainly in the Asia-Pacific (APAC) belt, have been the key for the growth of seaborne trade worldwide. According to a report by the United Nations Conference on Trade and Development (UNCTAD), the share of emerging economies in seaborne trade imports & exports had climbed rapidly over the past decade, touching almost 63% in 2017. Rise in sea trade activities across the world will certainly transform global marine gensets market landscape.
The Cruise Lines International Association (CLIA) reported that the global cruise industry had experienced a stellar growth of over 7% during 2017-2018, with over 28.5 million travelers worldwide. The cruise segment accounts for approximately 2% of the overall global travel industry, noted CLIA, as more people are now open to cruising, one of the most unique options to travel for families. In addition, increased spending capacity of passengers coupled with evolved ocean safety standards will bolster global cruise travel demand, in turn expanding marine gensets industry size.
According to the International Council on Clean Transportation (ICCT), ships are considered to be an efficient means of transport and carry over more than 80% trade by volume. But these vessels have also increasingly become a source for both air as well as climatic pollution. Most marine fuels have sulfur content of about 25,000 parts per million (ppm) compared to 10-15 ppm for on-road petrol and diesel in Europe and North America. It has become extremely important to cut down shipping emissions, which will effectively alter marine gensets market scope in terms of power generation technology.
LNG-based marine gensets can be anticipated to experience rapid adoption as it is a cleaner fuel option and worldwide, the production of LNG has escalated significantly over the past few years. Various companies have developed new purpose systems for a variety of ships to replace existing diesel-fueled systems, as well as those effectively made for dual use. Increased deployment of LNG-fueled marine gensets in key locations around the world has encouraged vessel operators to reconsider the viability of LNG as a marine fuel.
Cruise lines are leading the transformation for ships away from conventional heavy fuel oils to LNG as the primary driver for their operation. Moreover, LNG-based systems are a smart new option for keeping the emission of various greenhouse gases under control. Experts have estimated that almost 80% of cruise ships will be running on LNG by the year 2025. Growing inclination of ship operators towards LNG-fueled systems will undoubted influence the fuel choices for power generator sets, outlining global marine gensets market trends over the analysis period.
Effective product innovation, economies of scale, brand recognition and strategic marketing initiatives will impact the industry share and the competitiveness across the sector. Cummins, ABB, Caterpillar, Kohler, Scania, Volvo Penta, MAN Energy and Weicha are some of the prominent marine equipment manufacturers leading the industry landscape. Global marine gensets market size is projected to climb to more than USD 6 billion by 2025.