LNG tanker: Key market research findings
- APAC dominates the market geographically
- Membrane technology accounts for a majority of the market’s revenue
- Key vendors – Samsung Heavy Industries, Mitsubishi Heavy Industries, Hyundai Heavy Industries, DSME, Mitsui O.S.K. Lines, NYK, and Yamal LNG
Technavio’s market research analysts predict the global LNG tanker market to grow at a CAGR of over 11% between 2016 and 2020. The market is driven primarily by the increased need for energy security. During 2015, the global LNG tanker market was dominated by the APAC region with a market share of around 88%. With the consumption figures conventionally high, several nations in the region had started the quest of attaining supply assurance by building their own LNG tankers since long. Japan and Korea have dominated the construction of LNG tankers around the globe for decades, with China gaining its fair share in the recent decade. The projected increase in the number of vessels in this region will fuel the growth of the market in APAC over the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the LNG tanker segments based on the technology.
“One of the major trends currently observed in the LNG tanker market is the revamping in the carrier propulsion systems. The majority of the changes that the propulsion systems have witnessed have come into picture only in the past decade or so. The innovations in these systems can be attributed to growing sales of GDF SUEZ Global Energy and Provalys vessels. These vessels are expected to be propelled by a dual-fuel diesel-electric propulsion (DFDE) system. These DFDE systems are capable of utilizing both diesel oil as well as boil-off gases, thus enhancing the vessel efficiency by almost 25%-30%, relative to the conventional steam turbines,” says Thanikachalam Chandrasekaran, Lead Analyst, Energy, Technavio Research.
In 2015, the membrane technology segment accounted for around 76% of the market share to become the key revenue generating segment of the global market. This technology, developed in the year 1971, has made significant strides in the past decades and commands almost three quarters of the global LNG tanker fleet. Considering the market share in terms of absolute tanker numbers, the number of vessels, based on the membrane technology, stood at 312 tankers in 2015.
The key vendors in the global LNG tanker market include Samsung Heavy Industries, Mitsubishi Heavy Industries, Hyundai Heavy Industries, DSME, Mitsui O.S.K. Lines, NYK, and Yamal LNG. The market is categorized by the presence of both small and large-scale LNG tanker companies and is highly competitive. The introduction of significant liquefaction capacity is likely to emerge as a key trend in the market. With more volumes of uncontracted cargos expected to come into the market in the coming years, the opportunities for spot trading and the potential for profits of pure LNG traders are expected to hit a high.
A more detailed analysis is available in the Technavio report, Global LNG Tanker Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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