Electric Ships Market is Segmented by Type (Battery Electric Ships, Plug-In Hybrid Electric Ships, Hybrid Electric Ships), Application (Work, Leisure). The report covers global opportunity analysis and industry forecasts from 2021 to 2027. It is published in Valuates Reports under Automotive Industry Category.
The global Electric Ships market size is projected to reach $9,361.4 Million by 2027, from $5,114.6 Million in 2020, at a Compound Annual Growth Rate (CAGR) of 10.6% during the forecast period 2021-2027.
Electric ships market is predicted to rise as seaborne trade expands around the world and the maritime tourism industry expands. The electric ships offer advantages such as easy maintenance, low-cost operation, and can accommodate more cargo and passengers due to smaller powertrain size. This in turn is expected to drive the growth of the electric ship’s market.
The need for an electric-powered marine ship has grown in response to the growing need to reduce carbon footprints and reduce fuel waste. Furthermore, the electric ship market is increasing due to shipbuilders’ increased focus on minimizing noise created by marine vessel propulsion systems.
Increase of seaborne trade and the growing Maritime Tourism Industry are two important factors driving the Electric Ships Market. In 2020, the maritime vehicle will transport over 80% of the world’s commerce by volume, making it the backbone of global exchange and economics. Seaborne exchange continues to grow, bringing benefits to customers all across the world through lower cargo costs. This is expected to propel the global Electric Ships Market forward during the forecasted time frame.
Several government programs aimed at reducing carbon emissions, such as incentives for the purchase of electric-powered transportation ships, are projected to drive the electric ships’ market expansion throughout the forecast period.
In comparison to a conventional system, the area required for the installation of electrical propulsion machinery is relatively small and compact. Increased payload through the flexible location of machinery components. Furthermore, the propeller shaft and primary mover are not connected directly, the transmission of severe stresses such as torsional and vibration is limited. Such advantages are expected to further increase the adoption of electric ships thereby driving the growth of the electric ship market.
Increasing competition among various end-users, such as trade, transportation, and logistics, has forced service providers to cut their operational costs, such as fuel consumption and huge crews, in order to enhance their profit margin and reach breakeven. Thus, the move by the logistics and transportation service providers to decrease operational cost is expected to increase the growth of the electric ship market.
Based on type, the battery-operated vessels segment is expected to be the most lucrative segment. A battery-powered vessel contributes to a more environmentally friendly marine operation, as well as increased efficiency and reliability.
Based on region, the European market is expected to be the most lucrative. The rapid expansion of technologically advanced electric ships in Europe is the main reason for Europe’s leadership in the electric ship sector. The expansion of manufacturing industries in Europe, as well as the rising commercial and defence marine industries, is motivating electric ship producers to introduce technologically innovative and efficient solutions across a wide range of vessel types.
