Hydrogen Ships Market

Hydrogen Ships Market: Introduction

• A ship that runs on hydrogen uses the gas as an energy source to run an electric motor. Hydrogen is taken from storage tanks via the on-board hydrogen fuel system and transferred into fuel cells, where it is converted into power. The motor is powered by this energy, which is delivered to a battery pack.
• Rise in awareness toward increasing carbon emission from internal combustion engines of ships and vessels due to use of highly powerful engines, currently which is increasing the demand for environment-friendly ships, is anticipated to propel the hydrogen ships market during the forecast period.

Key Drivers of Hydrogen Ships Market

• Growing concern about environmental deterioration and the depletion of natural resources have prompted the development of several technologies that promote the eco-friendly idea of sustaining the environment. Furthermore, hydrogen fuel cell ships are more environmentally friendly than other conventional ships, and they are gaining popularity due to rising levels of traffic, increased greenhouse gas emissions, and increased awareness about the effects of air pollution. This is driving the global hydrogen ship market.
• The efficiency of hydrogen fuel ship is 60% to 70% higher than that of hybrid and internal combustion engine ship. Recent increase in the price of gasoline and diesel is boosting the demand for fuel-efficient vessels. The depletion of fossil fuel reserves and increasing desire of businesses to maximize revenues from these oil reserves have both contributed to this demand. Consequently, these factors increase the demand for cutting-edge fuel-efficient technology, which in turn propels the demand for transportation using hydrogen fuel cells.

Challenges in Hydrogen Ships Market

• Powertrains that use hydrogen fuel cells are available, which don't generate harmful pollutants such as nitrogen oxides and particulate matter or greenhouse gases from their tailpipes. This function encourages end-users to use this technology. However, it is anticipated that the high cost of raw materials, including platinum for the fuel cell anode and carbon fibre for the production of hydrogen fuel tanks, would restrain the market.
• High initial cost is another challenge for the hydrogen ships market. Furthermore, the COVID-19 pandemic affected almost every sector across the globe. The hydrogen ships market is completely dependent on the demand and production of ships. The impact of lockdown was witnessed on the production of new ships, because plants were shut down and raw materials were stuck in inventories, which put an additional economic load on manufacturers. Moreover, domestic and international travelling were affected by this pandemic. All these factors negatively impacted the global market.

Opportunities in Hydrogen Ships Market

• Cargo transportation is on the rise all over the world due to trade liberalization and increased global economic growth. Different types of ships are needed for transportation depending on the type of storage, loading, unloading, and security. Commodity consumption has directly increased along with economic development and expansion. Additionally, fossil fuel such as gasoline cannot be renewed as a source of energy and would eventually run out. It is critical to create and employ alternate fuel sources in order to promote sustainable growth. This comprises the use of hydrogen fuel cell ships, which are more cost-effective than conventional ships and do not require gasoline.

Regional Outlook of Hydrogen Ships Market

Demand for hydrogen ships is anticipated to increase in Asia Pacific owing to the growing shipping and transportation sectors in the region. The need for hydrogen ships in Eastern and Western Europe has significantly increased as a result of the region's increasing use of larger, heavier ships as well as cruise ships for transportation purposes. Japan is a key port that manages trade and commerce activities, and it is anticipated that Japan would offer significant opportunity for the hydrogen ships market during the forecast period, due to technological advancements adopted in the country. Moreover, the popularity of the yearly hydrogen ship races hosted in North America is anticipated to increase demand for hydrogen ships in the region. Demand for hydrogen ships is projected to rise in Middle East & Africa during the forecast period due to expansion of the oil & gas industries in the region.

Key Players Operating in Hydrogen Ships Market

The global hydrogen ships market is moderately consolidated. A few of the key players operating in the global Hydrogen Ships market are:

• Toyota Motor Corporation
• Yanmar Holdings Co. Ltd.
• Luxfer Holdings PLC
• ABB Limited
• Rolls Royce plc
• Ulstein Group ASA
• Wartsila

Global Hydrogen Ships Market: Research Scope

Global Hydrogen Ships Market, by Technology

• Merchant Focus
• Captive Focus

Global Hydrogen Ships Market, by Ship Type

• Military Ships
• Leisure Ships
• Recreational Ships
• Commercial Ships

Global Hydrogen Ships Market, by Type of Production

• Electrolysis Production
• Methanol Production
• Petroleum Refining
• Ammonia Production

Global Hydrogen Ships Market, by Region

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
  • Nordic Region
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • ASEAN
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Nigeria
  • South Africa
  • Rest of Middle East & Africa