Hybrid Electric Marine Propulsion Engine Market

Hybrid Electric Marine Propulsion Engine Market is expected to witness a promising CAGR over the upcoming years, owing to the emerging need to reduce carbon emissions.

Key Drivers

Increase in global seaborne trade, rising usage of cargo ships and ferries for transportation purposes in coastal waterways, and growing adoption of fuel-efficient propulsion system are the factors expected to drive the growth of the hybrid electric marine propulsion engine market size. In addition, the hybrid electric marine propulsion engines have several benefits including reduced emission, improved marine vessel performance, lower operating cost due to lower fuel consumption, lower maintenance cost of engines, reduced noise level and vibration, higher redundancy, and long-term efficiency of the power system. Moreover, according to the United Nations Conference on Trade and Development (UNCTAD), in 2019, the global commercial shipping fleet grew by 4.1%, and the world maritime trade is projected to have 3.4% annual growth for the period 2019–2024. The increase in the commercial shipping is likely to expand the market growth. The growing deployment of hybrid electric propulsion engines on offshore vessels is forecast to expand the market growth, as they help in minimizing hazardous CO2 emissions as well as reduce fuel consumption which helps in improving efficiency and minimizing operational cost, thereby expanding the market size. In addition, the market is forecast to grow in the light of several policies enforced at a local as well as international level. Growing demand for tourist ships, accelerating number of marine freight and increasing investments to improve naval fleet are some major factors driving the growth. Moreover, the growing emphasis on minimizing marine emissions and rigorous emission norms have encouraged the adoption of marine vessels with gas turbine propulsion and hybrid-electric propulsion systems, emitting low carbons, which is predicted to expand the market growth.

Restraint in the Hybrid Electric Marine Propulsion Engine Market

However, high manufacturing and maintenance cost of hybrid marine propulsion system is one of the major factors restraining the growth of the market. Additionally, the high popularity and adoption of diesel based propulsion system may further hamper the market growth. The wide availability of alternatives and maintenance complexities are predicted to hamper the market growth. Inadequate knowledge associate with the hybrid-electric propulsion systems among vessel operators has hindered the market growth.

Type – Segment Analysis

Based on the type, the diesel electric is projected to hold a prominent market share over the forecast period. This can be attributed to increasing usage of diesel electric propulsion engines in naval vessels, and large ships owing to high reliability, fuel efficiency, and low emissions during operation.

Ship Type – Segment Analysis

Based on the ship type, the anchor handling tug supply (AHTS) vessel is projected to grow notably over the forecast period owing to its high demand in oil drilling application and increasing use as an Emergency Response and Rescue Vessel (ERRV). Moreover, the AHTS vessels are used in anchor handling services, rescue operations, firefighting, and oil recovery, which is further propelling the market growth.

Regional – Segment Analysis:

On the basis of region, the Asia Pacific is expected to grow notably over the forecast period primarily due to the increasing seaborne trade and rise in the manufacturing of marine vessels and hybrid propulsion systems. Additionally, the presence of leading players including Mitsubishi Heavy industries, Ltd., BOS Offshore & Marine Pte Ltd., and Yanmar Holdings Co., Ltd. is contributing to the market growth. The growing emphasis to curb emission levels by the cargo vessels and the government initiatives, is projected to expand the hybrid electric propulsion engine market during the forecast period. On the other hand, increasing disposable incomes and growing expenditure towards leisure activities have augmented the demand for technologically advanced recreational boats in the North American region, paving the way for market growth. Also, the presence of leading hybrid electric propulsion engine manufacturers and a strong shipbuilding industry, primarily in the U.S., fueling the market growth.

Hybrid Electric Marine Propulsion Engine Market Major Players & Competitive Landscape

Several leading companies are ABB Ltd., BAE Systems Plc, Caterpillar Inc., General Electric Company, Mitsubishi Heavy Industries, Ltd., Torqeedo GmbH, Rolls-Royce Plc, Schottel GmbH, Siemens AG, and Wärtsilä Corporation. and many more.

Global Hybrid Electric Marine Propulsion Engine Market by Type

• • Diesel Electric
  • Gas Electric
  • Others

Global Hybrid Electric Marine Propulsion Engine Market by Ship Type

• • Anchor Handling Tug Supply Vessel
  • Platform Supply Vessel
  • Yacht
  • Motor Ferry
  • Cruise Liner
  • Others

Global Hybrid Electric Marine Propulsion Engine Market by Region

• • North America Hybrid Electric Marine Propulsion Engine Market Market
    • US Market
    • Canada Market
  • Europe Hybrid Electric Marine Propulsion Engine Market Market
    • UK Market
    • Germany Market
    • France Market
    • Spain Market
    • Rest of Europe Market
  • Asia-Pacific Hybrid Electric Marine Propulsion Engine Market Market
    • China Market
    • India Market
    • Japan Market
    • Rest of APAC Market
  • RoW Hybrid Electric Marine Propulsion Engine Market Market
    • Brazil Market
    • South Africa Market
    • Saudi Arabia Market
    • UAE Market
    • Rest of world (remaining countries of the LAMEA region) Market

Major Players Operating in the Hybrid Electric Marine Propulsion Engine Market

• • ABB Ltd.
  • BAE Systems Plc
  • Caterpillar Inc.
  • General Electric Company
  • Mitsubishi Heavy Industries, Ltd.
  • Torqeedo GmbH
  • Rolls-Royce Plc
  • Schottel GmbH
  • Siemens AG
  • Wärtsilä Corporation