Introduction of new marine equipment for green ships and the rise in the level of sustainability supporting growth of shipbuilding industry

Date: 1 February 2020

According to a research report published by Azoth Analytics in January 2019, the Global Shipbuilding Market was valued at USD 256.05 Billion in the year 2019. The shipbuilding market is expected to grow at a slow but steady pace during the forecast period. Use of new technologies, such as artificial intelligence (AI) and automation, are the key drivers of the shipbuilding market across the globe. Additionally, adoption of robotic technologies is likely to supplement in the shipbuilding market value in the near future.
The main growth in shipbuilding market has been registered from Asia-Pacific countries in 2019. These nations are well positioned to supply ultra-large vessels with shipping companies increasingly demanding for their fuel efficiency and economies of scale. Significant consumption of steel, average age of global fleet, advancements in container shipping, and rising demand for LNG fuelled engine are some of the driving factors which is anticipated to propel the market value in forecast period. 

The weaker demand for shipbuilding during the historical period was the result of rapid increase in the cost of shipbuilding, and decline in bulk carrier and containership which contributed to the decline in demand. Some of the factors such as growth in shipping confidence level, seaborne trade and a rapid upsurge in the overall demand for eco-friendly ships are expected to augment the market growth rate. Despite of the recent financial slump, the introduction of new marine equipment for green ships and the rise in the level of sustainability along with innovation has put the shipbuilding sector among the top ranks in the global competition arena.

Additionally, the competitiveness of shipping companies is strongly linked to labour costs, which are higher in the European sector. In order to face its Asian competitors, the European industry has adopted a clear specialization strategy in higher value-added and technologically complex segments which is infusing the market growth rate.

The Azoth Analytics research report titled Global Shipbuilding Market (2020 Edition) - MarketInsight, Competition and Forecast (2019-2024) has analysed and segmented the Shipbuilding Market by Value (USD Billion). The report has analysed the Shipbuilding Market by Ship Type (Ship Tankers, Ship Containers, Ship Bulkers and Others) and by Application (Defence, Transportation, Leisure & Luxury and Others). The Global Shipbuilding Material Market has been analysed By Region (Americas, Europe, Asia Pacific, MEA) and By Country (United States, Canada, Mexico, Brazil, Germany, Italy, United Kingdom, China, Japan, South Korea) for the historical period of 2014-2018 and the forecast period of 2019-2024.