PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1320127
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1320127
Shipbuilding Market size was valued at USD 14252.8 Million in 2022, expanding at a CAGR of 3.5% from 2023 to 2030.
Shipbuilding is the process of constructing ships and various other floating vessels, typically carried out in a dedicated facility called a shipyard. Those involved in shipbuilding are commonly referred to as shipwrights. The shipbuilding sector is responsible for designing and constructing seafaring vessels worldwide.
The global shipbuilding market has experienced growth due to the rise in trade-related agreements. Developed and developing nations have engaged in numerous agreements to facilitate the transportation of goods, leading suppliers to favor waterways as a more efficient mode of transport. This preference has driven cargo vessel manufacturers to develop container carriers of various sizes and capacities that are more advanced and efficient, thereby contributing to market growth. Additionally, free trade agreements have resulted in a reduction in duties and taxes, encouraging increased trade activities as exporters and importers are relieved of financial burdens. Trade blocs have also played a role by lifting bans and promoting more flexible trade policies among member countries. Consequently, the increased demand for robust containers driven by the surge in trade-related agreements serves as a catalyst for the expansion of the global shipbuilding market.
The Global Shipbuilding Market is segmented on the basis of Product Type, End Use, and Region.
The market is divided into four categories based on Functionality: Vessel, Containers, Passengers and others. Vessel segments dominates the market. The vessel types include cattle transporters, conventional cargo ships, and bulk carriers. Bulk carriers transport dry and loose items like food grains, ores, coal, cement, and other commodities. Because these goods don't need special packaging and allow for more adaptability across the major economies, the dry bulk freight rates have remained stable. Despite low freight rates and technical challenges in certifying and delivering boats, the market for bulk carriers has attracted a lot of investment.
The market is divided into two categories based on end use: Transportation and Military. Transportation segment dominated the global ship building market by end use. Due to rising demand from the logistics and freight industry, transportation businesses hold the largest proportion of the shipbuilding market. International deliveries of new dry bulk carriers and oil tankers fell while those of containers rose. New chemical tankers, gas carriers, and cargo ships were supplied more often than in previous years. Expanding specific ship categories can be proportionally associated with the selling of new ships.
Geographically, this market is widespread into the regions of North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further divided as per the nations bringing business.
The shipbuilding industry has been affected by economic and environmental changes, as well as the ongoing COVID-19 pandemic. These factors have contributed to a slowdown in market growth. However, despite these obstacles, companies are focusing on developments to overcome these challenges and remain competitive in the global market.
Despite the challenges faced by the shipbuilding industry, major players like Hyundai Heavy are actively investing in future technologies to enhance efficiency and promote growth. The investment of KRW 760 billion (USD 660 million) by Hyundai Heavy in September 2021 demonstrates their commitment to developing eco-friendly ships, digital ship technology, smart shipyards, and hydrogen infrastructure.
In February 2022, Daewoo Shipbuilding & Marine Engineering Co. reported receiving orders from Europe totaling KRW 1.8 trillion (USD 1.5 billion). Two liquefied natural gas carriers and six container ships will be constructed by Daewoo Shipbuilding for Maran Gas Maritime Inc., the gas shipping division of Angelicoussis Shipping Group, the largest shipping company in Greece.
The scope of this report covers the market by its major segments, which include as follows: