Fuel Efficiency to Drive 33% Growth in Marine Propulsion Engines Market to Nearly $11B by 2020

The market is expected to grow from  $8.23 billion in 2013 to $10.95 billion in 2020.

The size of the global marine propulsion engines market is expected to grow from $8.23 billion in 2013 to $10.95 billion in 2020 as companies increasingly look for ways to reduce their bunker consumption, according to new research by Grand View Research, Inc.

According to the study, the market is expected to grow at a compound annual growth rate of of 4.2 percent between 2014 and 2020, with diesel propulsion still expected to make up the vast majority of the market. 

"Although wind and solar energy have gained prominence as auxiliary propulsion sources in the marine propulsion engines market, they are inadequate to suffice the power requirements for primary propulsion purposes," said the report. 

The company said that MARPOL environmental regulations are also expected to temper the market somewhat, especially in the case of diesel systems, though a new emphasis on propulsion systems that cause minimal emissions has also gained "special importance."

Among the systems that run on alternate fuels, liquefied natural gas (LNG) has purportedly emerged at the forefront, drawing more attention to dual fuel diesel engines.

North America is reportedly expected to be among the top adopters of LNG as a propulsion medium.

The research also shows that Asia Pacific made up the largest share of marine propulsion engines market revenue in 2013, with countries such as China and South Korea having invested heavily in the area. 

An increasing amount of companies have begun experimenting with alternative energy sources for propulsion systems. 

Late last year, Finnish marine engineering company Norsepower Oy started sea trials for an auxiliary wind propulsion system, while General Electric also said early this year that it had received an order to install its electric propulsion systems aboard two LNG carriers.