Marine Fully Electric Propulsion Market

Marine Fully Electric Propulsion Market Size (2023-2028):

The Global Marine Fully Electric Propulsion Market was valued at US$ 8 billion in 2022 and is predicted to reach a value of US$ 14.96 billion by 2028, at a CAGR of 11% between 2023 - 2028.

The worldwide marine market is expanding rapidly due to new innovations in the way ships are powered and operated. Marine propulsion is a system or mechanism that provides thrust for the movement of a boat or boat in the water. Modern ships are currently using mechanical systems such as a motor or a propeller based on an electric motor or impellers and propulsion pumps that are employed less frequently. Electric-powered boats are not a new concept. The first electrically powered ship was built from lead-acid batteries in France in 1881, by Gustave Found; however, energy storage limitations hampered the development of the vessel.

MARKET TRENDS:

Generally, boat builders offer a fully electric propulsion system by custom order or upgrade. The major drivers for opting for electric propulsion systems on marine vessels are worries about water pollution. The use of renewable energy sources on board to charge the battery is likely to be another driving factor for this type of marine propulsion.

MARKET DRIVERS:

The use of roads and airlines has escalated enormously for public and private transport in developed and developing countries, similarly, the use of ferries for public and private transport purposes on coastal waterways has escalated overall, complementing the market expansion. In a fully electric marine propulsion system, the engine is connected directly to the generator. The fully electric marine propulsion increases the efficiency of the boat and reduces the carbon footprint. The implementation of strict regulations by the governments of several countries, related to the elimination of harmful carbon emissions, is driving the call for hybrid and fully electric marine propulsion systems. In addition to this, the governments of various countries are financing and supporting the advancement and promoting the use of the latest technologies in marine propulsion systems.

MARKET RESTRAINTS:

Contrary to the drivers, the strict rules and volatility of crude oil are affecting the expansion of the market. High initial investments and inadequate infrastructure for charging are projected to hamper the worldwide all-electric and hybrid propulsion market during the foreseen period.

MARKET OPPORTUNITIES:

Several market players are actively working to develop energy-efficient marine propulsion systems. Escalating the call for small and medium-sized vessels with fuel-efficient propulsion systems employed on inland waterways is predicted to drive expansion during the foreseen period. Gradually, the escalating adaptation of marine propulsion technology is one of the key opportunities for market expansion.

MARINE FULLY ELECTRIC PROPULSION MARKET REPORT COVERAGE:

Market Segmentation:

Marine Fully Electric Propulsion Market - By Propulsion Type:

• Hybrid Vessel
• Full Electric Vessel

Depending on the type of propulsion, the fully electric boat segment is projected to grow with significant market share over the foreseen period as watercraft are powered by high-speed diesel engines and electrically powered boats have been employed in a significant way.

Marine Fully Electric Propulsion Market - By Ship Type:

• Anchor Handling Tug Supply (AHTS) Vessels
• Cruise Liner
• Motor Ferry
• Naval Ships
• Platform Supply Vessel (PSV)
• Small Cargo Ships
• Submarines
• Yachts

The defense sector has always been the area of ​​greatest concern for both developed and developing countries. These countries are investing enormous capital in the defense sector. The Asia Pacific region is experiencing a high call for hybrid and all-electric marine propulsion systems due to escalated maritime trade, escalating numbers of new ship manufacturers, and greater adaptation of hybrid or all-electric propulsion systems as they upgrade existing vessels.

Marine Fully Electric Propulsion Market - By Deadweight:

• 5K-10K Dead Weight Tonnage (DWT)
• Less Than 5K (DWT)
• More Than 10K (DWT)

Marine Fully Electric Propulsion Market - By Power Rating:

• Up to 1 MW
• 1.1-2 MW
• 2.1-3.5 MW
• Above 3.5 MW

Marine Fully Electric Propulsion Market - By RPM:

• 0-1,000 RPM
• 1,001-2,500 RPM
• Above 2,500 RPM

Marine Fully Electric Propulsion Market - By Application:

• Commercial
• Logistics
• Naval
• Offshore Drilling

Market Regional Analysis:

The Marine Fully Electric Propulsion report includes the segmentation of Regions:

• North America 
• Europe 
• Asia Pacific
• Latin America 
• Middle East & Africa 

North America is projected to have a substantial share of the worldwide all-electric marine propulsion market during the foreseen period. Europe is predicted to follow North America during the foreseen period. However, the Asia Pacific market is likely to expand at a significant expansion rate during the foreseen period. The Asia Pacific is projected to be a very lucrative region of the worldwide marine hybrid and all-electric propulsion market during the foreseen period. Investments in the shipping industry have escalated significantly in the region in recent years, due to the increase in maritime trade in countries such as China and Japan. This is predicted to drive the all-electric and hybrid marine propulsion market in the Asia Pacific. North America is also a key region in terms of adopting alternative marine energy, as it helps reduce greenhouse gas emissions. Countries in the region have enacted strict regulations to reduce air pollution in coastal areas. North America is estimated to be a lucrative region of the worldwide marine hybrid and all-electric propulsion market during the foreseen period.

Impact of COVID-19 on the Marine Fully Electric Propulsion Market:

The outbreak of the infectious disease called coronavirus disease (COVID-19) caused by the newly discovered coronavirus has caused chaos and panic around the world causing the cessation of all normal daily activities such as going to work and walking outdoors, or in some countries even taking a step away from home. One of the activities that has also been most affected by the spread of this disease is the shipping and maritime industry. This setback has also been due to the paralysis of all types of cargo by sea or air during this quarantine period (isolation period) since the transport of said cargo by ships or by air may possibly be transporting the virus from one port to another. This widespread pandemic has placed a heavy burden on the shipping and maritime industry not only in ports in China (where the virus is said to originate) but also in ports around the world. All trade chains, including the main import and export trade, are facing a decline. During this adverse time and with the urgency of the situation, several countries have also imposed a ban on the entry of containers and vessels that are being operated from other ports, especially those transported from China. Such hampered operations have hampered the logistics and operations of these industries. The ports also operate at low capacity and the storage facilities have been very crowded. The maritime transport and shipping industry is fraught with great challenges during these difficult times.

Market Key Players:

Key players operating in the Marine Fully Electric Propulsion Market include

1. ABB Group
2. Rolls-Royce Plc
3. Wärtsilä
4. Yanmar Co., Ltd
5.  Caterpillar
6. Oceanvolt
7. Hyundai Heavy Industries Co., Ltd