Market Trends of Military Marine Vessel Engines Industry
Gas Turbine Propulsion Systems to Dominate the Market During the Forecasted Period
The gas turbine propulsion systems segment held the highest share in the market, and continue its domination during the forecasted period due to their optimized fuel economy, higher efficiency, reduction in emission, and also as it decreases fuel consumption in naval vessels. Significant changes in gas turbine design, particularly in the design and complexity of engine control systems, have led to the need for systems-oriented treatment of gas turbine propulsion.
Naval engine manufacturers are rapidly adopting several alternate technologies, such as Liquefied Natural Gas (LNG) and hydrogen-based propulsion systems. While LNG-powered engines are more fuel-efficient, their market share growth is hindered by a lack of bunkering infrastructure for LNG ships. New sophisticated gas turbine propulsion systems are being designed for next-generation naval vessels that are due to be inducted in the future.
For instance, In February 2023, GE India Industrial Pvt Ltd (GEIIPL), the India unit of global engineering giant GE, has been awarded a contract by the Cochin shipyard for the marine gas turbine solutions work for INS Vikrant, India's first indigenously manufactured aircraft carrier commissioned in August 2022.Developments such as these are boosting the growth of the market during the forecasted period.
Asia-Pacific Anticipated to Grow at a Significant Pace During the Forecast Period
The Asia-Pacific region is expected to dominate the market during the forecast period. Emerging markets, such as China, South Korea, India, and Japan, are continuously increasing their defense budgets to strengthen their national security. The arms race in the region is evident through the lavish defense budget spending of regional superpowers such as China and India. China envisions becoming the second-largest navy in the world by 2030. Also, since 2000, China's annual defense budget has increased eightfold, and the country has been focusing on indigenous development of amphibious landing craft to reduce its dependence on imported vessels.
The availability of low-cost skilled and unskilled labor and required shipbuilding infrastructure has encouraged the global marine vessel engine manufacturers to set up production units in the region to satiate the demand for new engines that are driven by the procurement plans initiated by the regional naval forces. For instance, In September 2022, Wartsila Corporation announced orders for its newly launched Wartsila 20 engines in China. These engines are equipped with Wartsila NOR NOX emmisions reducer to comply with China's stage II, popularly known as C2, emissions standards.
