The changing dynamics in Marine Propulsion Systems Market with covid-19 impact assessment
The unexpected shifts in the global markets because of the sudden outbreak of the COVID-19 virus have brought many major and minor tremors to industries of all sizes including the Marine Propulsion Systems Market.
It was estimated prior to this unanticipated outbreak that the Marine Propulsion Systems Market will reach CAGR of 2.3% during the forecast period . However, the gradual slowing down of industries will undoubtedly impose limits on the previously estimated growth rate.
Marine Propulsion Systems Market Insights
Marine Propulsion Systems Market is likely to witness a CAGR of 2.3% during the forecast period. The major factors such as increasing environmental awareness among individuals accompanied by regulatory pressure for adopting sustainable systems, ongoing enhancements in technology along with developed design of engine to minimize operational costs, and growing international trade with the increasing ship building activities, are expected to have a positive impact on the industry landscape and fuel the growth of the marine propulsion systems market during the forecast period.
Market Share Analysis
Marine Propulsion Systems Market Share: By Product Type
Based on the product type, the market is segmented as diesel, wind & solar, gas turbine, fuel cell, steam turbine, natural gas, and others. The natural gas segment is estimated to witness a CAGR of> 2% during the forecast period. Factors such as increasing environmental awareness to obtain sustainability accompanied by increase in retrofitting of existing vessels with the motive of installing green engines, and decreased emission of carbon along with competitive pricing of commercially viable regions is expected to have a positive impact on installing products in the market during the forecast period.
Marine Propulsion Systems Market Share: By Power Type
Based on the power type, the market is segmented as <1,000 HP, 1,001-5,000 HP, 5,001-10,000 HP, 10,001-20,000 HP, and> 20,000 HP. The 1,001-5,000 HP segment is estimated to remain the dominant power type in the market over the forecast period. The growth of the segment is attributed to the increase in demand from containerships, cruise ships, and other offshore service vehicles. Factors such as ongoing investments in the marine industry estimated to be diverted in the direction of bringing international trade back on track, after realizing the impact of COVID-19 impact, and increase in installation in the defense vessels accompanied by various countries looking forward for strengthening their maritime security are expected to boost the growth of the market during the forecast period.
Marine Propulsion Systems Market Share: By Technology Type
Based on the technology type, the market is segmented as low speed, medium speed, and high speed. The low-speed technology is estimated to account for the largest share of the market during the forecast period, owing to the high thermal efficiency and wide application base.
Marine Propulsion Systems Market Share: By Propulsion Type
Based on the propulsion type, the market is segmented as 2-stroke and 4-stroke. These engines can be utilized in various vessels of deep-sea ships including bulk carriers, tankers, container and cargo ships, owing to the output as steady propulsion. These units accompanied by two-stroke diesel engines are the major movers of merchant ships as two-stroke cycle maximizes the power-to-weight-ratio at the minimum engine size, thus, complementing the size of marine propulsion systems market during the forecast period .
Marine Propulsion Systems Market Share: By Application Type
Based on the application type, the market is segmented as commercial, container vessels, tankers, offshore, and recreational. Recreational application type is estimated to register a constant growth rate , which is attributed to the increase in standard of living and upsurge in the purchasing power of individuals. Further, growing marine tourism accompanied by the increase in demand for passenger & recreational vessels is expected to boost the growth of the market during the forecast period.
Marine Propulsion Systems Market Share: By Region
In terms of regions, Asia-Pacific has been observed as the most lucrative region of the market . The region's growth is attributed to the growing shipbuilding activities particularly in China, Japan and South Korea, accompanied by the increasing number of joint ventures with internationally established brands. In addition, the major factor currently fueling the regional market's value is the trading of crude oil from the Middle East to Asia-Pacific. North America and Europe are also expected to offer substantial growth opportunities during the forecast period.