The hybrid electric marine propulsion engine market is estimated to reach USD 708.6 million by 2025, growing at a CAGR of 7.3% during the forecast period. Increase in commercial shipping is majorly driving growth of this market.
The implementation of hybrid electric propulsion engines on offshore vessels are gaining momentum. The hybrid electric propulsion engines have resulted in reduced fuel consumption and CO2 emission levels thereby improving efficiency and decreasing cost of operations.
The global Hybrid Electric Marine Propulsion Engine market worth 9.99 by 2029, growing at a CAGR of 11.71%
PT Marine Solutions, a Singapore based thruster and propulsion systems manufacturer, has developed a hybrid propulsion system for yachts, tugboats, and offshore vessels. The hybrid propulsion system use MPS Azimuthing Podded Permanent Magnet Propulsion Systems, variable speed gensets and well proven components to completely power the vessel with increased fuel economy and maximizing manoeuvring.
The hybrid electric marine propulsion engines serves not only the effective maneuvering of ships but also ensure a better safety standard for the marine ecosystem along with cost efficiency. The propulsion engines below 150 kW are usually used in sailboats, catamarans, tenders and small crafts.
These low power hybrid electric engines are suitable for small vessels and sailboats as they are easy to install, economical and are very quiet. These engines are suitable for operation on protected waters where traditional propulsion systems are prohibited.
Looking ahead, the global hybrid electric marine propulsion engines market is expected to receive the necessary catalyst for growth in light of the several policies being introduced and implemented at a local as well as international level. The revision of the emission control protocols as well as the Paris Agreement, an agreement within the United Nations Framework Convention on Climate Change (UNFCCC), is expected to result in an increasing penetration of hybrids, especially in the marine sector.
High contribution of carbon dioxide emissions during anchoring and travel is expected to result in driving the demand for eco-friendly technologies in marine engines. Moreover, the relatively lower long-term cost of hybrid vessels in comparison to conventional ones is expected to further boost the demand for hybrid electric marine propulsion engines.
Over the next few years, hybrid vessels are expected to account for a substantial chunk within the global shipping sector. From a production point of view, these propulsion systems are made-to-order, which results in bridging the supply-demand gap.
In terms of boat building, U.S. is the biggest boat building country in the world followed by France. The recreational boating industry plays a major role in the North America’s tourism industry. Increasing disposable incomes coupled with rise in expenditure towards leisure activities are some factors driving the demand for newer and technologically advanced recreational boats in the region. Also, presence of a large number of hybrid electric propulsion engine manufacturers and a robust shipbuilding industry, especially in the U.S., drives the overall sales in the region. Additionally, increasing marine trade, especially with European and Asian countries, is fuelling the demand for cargo vessels, thus supplementing the North America hybrid electric propulsion engine market. Moreover, enhanced trailing and mooring infrastructure has certainly influenced the growth of the hybrid electric propulsion engine industry in the region.
Furthermore, countries in the Middle East & Africa are witnessing rapid economic growth owing to increasing trade and rising tourism. Several African countries are focusing on increasing international trade especially with India and China to capture low cost imports. Also, increasing growth of tourism industry majorly due to the presence of Islamic pilgrimage in Mecca and Medina, Saudi Arabia coupled with rise in oil and LNG extraction are driving the overall growth of Middle East & Africa maritime industry. Thus, increasing demand for tourist ships, rising number of marine freight and increasing investments in the enhancement of naval fleet are some major factors driving the growth of Middle East & Africa hybrid electric propulsion engine market.
Hybrid Electric Marine Propulsion Engine Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2025||USD 708.6 million|
|Growth Rate||CAGR of 7.3% during 2021-2028|
|Segment Covered||Capacity , Application, Regions|
|Regions Covered||North America, Europe, Asia Pacific, South America, Middle East & Africa|
|Key Players Profiled||Caterpillar, MAN Diesel & Turbo, Mitsubishi Heavy IndustriesCummins, Hybrid Marine, STEYR Motors, Rolls-Royce, Wartsila Finland Oy, Elco Motor Yachts, Oceanvolt, Beta Marine, Leonardo DRS, and GE among others.|
Key Segments of the Global Marine Hybrid Propulsion Engine Market
Capacity Overview, 2013-2025 (Units) (USD million)
- <150 kW
- 151-500 kW
- 501-750 kW
Application Overview, 2013-2025 (Units) (USD million)
Regional Overview, 2013-2025 (Units) (USD million)
- North America
- Rest of Europe
- South East Asia
- Rest of Asia-Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa