The global industry for repair and maintenance will benefit from the restoration of trade post-Covid lockdowns, among other factors, a report by the research agency Future Market Insights (FMI) has found, predicting a CAGR of 6.6% up to 2033 and a revenue of $50.3 billion.
”Europe is expected to be one of the most lucrative markets across the globe,” the report says. ”Germany is predicted to lead the Europe ship repair and maintenance services owing to the emphasis on research and development activities in new technology, though the UK will thrive at a significant growth rate.
”Prominent development in the shipbuilding activities across Europe is also another factor aiding market growth. This is primarily due to rapid changes and improvements in regions like Croatia, Nordics and the Netherlands. This is further expected to propel the market forward throughout the forecast period.”
Changes will also be seen because of the need to comply with new domestic and international laws in response to fears over climate change, with “ship repair and maintenance services firms now using environmentally sustainable procedures, reducing the potential threat to the environment from these activities”, the report says.
“From shipbuilding to repair, from cargo loading to unloading, coastal logistics businesses hold a major share in the market system,” the report says. ”A high rate of interest in the seaborne transport of goods and equipment helps in increasing the adoption of ship repair and maintenance services.
From OEM services to machine engineering, CNC machining to blasting and painting, repair and maintenance service firms can expect to see a healthy order book, the report says, including in the US, which will see a slightly slower CAGR of 4.8% and a projected revenue of $1.6 billion by 2033.
By far and away the market leader with a CAGR projected figure of 10% is India, ’primarily due to the increasing seabourne trade activities and expansion of the tourism industry’.
“Also due to the availability of cost-effective labour, raw materials and favourable government regulations, leading manufacturers and service providers are eyeing the Indian market.”