The marine compressor market is expected to grow at a compound annual growth rate of 2.78% to reach a market size worth US$3.435 billion by 2026. This market was valued at US$2.836 billion in 2019. The marine compressor is an extremely important auxiliary machine, used in ships to produce compressed air and has a number of applications in the engine and deck departments and onboard. The primary function of the compressor is to compress any fluid or air to increase the aur pressure and reduce its volume. The marine compressors are used in feeder equipment or essential equipment for different systems. They are used in several processes such as cleaning the filters and even starting main and secondary engines. The increase in the number of ships and cargos around the world is expected to drive the growth of the use of marine compressors in the global market. However, the high cost associated with marine compressors and the increase in the sea freight owing to the shortage of equipment’s will hamper the growth of marine compressors in the forecast period. The benefits associated with marine compressors and the increasing number of ships will create growth opportunities for the marine compressor market in the time period.
The Rising Number of Ships and the Increasing Benefits of Marine Compressors Will Boost the Market Demand for Marine Compressors Market
The growing number of ships around the globe due to the increasing tourism, sea freights, international trade and recreational activities has led to the surging demand of marine compressors as companies have been adding a greater number of ships to their inventory to meet the increasing demand of these activities. The diverse applications of these ships are leading the growth of marine compressors as each ship requires marine compressors. In a report by World Merchant Fleet Data, the number of ships rose to 52,961 in the year 2020 from 48,459 in the year 2015. This has accounted to the growing demand of marine compressors in the shipping market. The technological advancements in the marine compressor industry have further fuelled the growth of marine compressors due to less maintenance and less operational cost which in turn supports the market growth. The benefits marine compressors provide including reducing volume, higher energy efficiency, acts as a control valve and provides a start to machines and engines which is expected to provide market growth in the forecast period.
Reciprocating Type Compressors Will Have a Significant Market Share During the Study Period of 2019 to 2026
The marine compressor market is segmented, based on product type, reciprocating type, rotary screw type, rotary vane type and others. During the study period, the market for reciprocating type is anticipated to witness remarks growth as the double-acting reciprocating type compressors have several benefits over the other which include energy efficiency due to which the demand of these type in at a surge in the global market. Also, its simple maintenance and its capability of withstanding high pressures has led to the surge in the demand of reciprocating type in the forecast period. These types of marine compressors are not expensive due to which it is found to be used extensively.
The Application of Marine Compressors in Merchant Ships Is Expected to Drive the Marine Compressor Market in the Forecasted Period.
The marine compressor market, by end-user industry, is divided into Yachts, Merchant ships, navy vessels and Others. The demand for marine compressors in merchant ships has surged in the recent period and is expected to dominate the market in the forecast period owing to its extensive use of these ships to transport goods, materials, cargo, and passengers for hire. The extensive use of merchant ships will boost the demand of marine compressors as these ships are required in to perform various tasks and meet its requirement which will boost the overall marine compressor demand in the global market.
The Increasing Cost Has Raised Financial Pressure and the Increase in Rate of Sea Freight Which May Hinder the Market Size of Marine Compressor Market
One of the prime factors that may hinder the market growth of marine compressors is the high costs associated with it. The maintenance and installation costs of marine compressors has proved to be a major restraint to the growth of the marine compressors market in the forecast period. The requirement of skilled manpower and the initial installation costs of the compressors has accounted to a larger investment in setting up the compressor. Also, the maintenance cost of the compressors to ensure its smooth functioning increases the costs associated with the marine compressors. Furthermore, the rates associated with sea freight has risen due to the shortage of equipment’s and the limited vessel capacity in developing region. The shortage of containers for the transportation of goods has resulted in increased freight rates which further restrain the market growth of marine compressors. Despite numerous benefits associated with marine compressors, these factors act as a major restraint for market growth.
During the Forecasted Period, North America and the Asia Pacific Region Will Show Robust Growth
The marine compressor market, by geography, is divided into North America, Europe, Middle East and Africa, Asia Pacific and South America. The Asia Pacific region holds the largest share and is predicted to grow at an increasing rate in the marine compressor market. Asia Pacific region is expected to grow at the fastest rate in the marine compressor market in the projected period. The ever-growing shipping industry in the region is driving the growth of marine compressors in the market. The presence of top shipping nations including Japan and India is further leading the growth of the marine compressor market. Singapore is considered the best shipping hub in the world with Hong Kong and Shanghai in the top 10 list due to which the demand of marine compressors in the region has grown in the forecast period. Moreover, Europe is anticipated to experience a significant growth due to the growing Nautical tourism in the country.
The COVID-19 pandemic has had an adverse effect on industries and their manufacturing and production units. The government of many nations have imposed strict nationwide lockdown due to the extensive spread of the virus. The COVID-19 virus has had a positive impact on the continuous glucose monitoring market as due to the worldwide spread of the deadly virus the demand of freight and sea cargos increased exponentially as the surge in the demand of medical supplies and equipment’s such as PPE kits, disposable masks, oxygen cylinders, gloves, etc. on immediate basis rose in developing nations such as China and India. The increased demand forced governments to import these medical products across sea borders. This further increased the sea freight market as medical products were supplied in large volumes which surged the demand of marine compressors in the global market.