The global LNG engine market is expected to grow at a CAGR of 6.1% during the forecast period 2021 to 2030 and projected to reach valuation US$ 2.5 billion by 2030.
The implementation of stringent government regulations and policies to lower carbon emissions is the key factor expected to boost the global LNG engine market during the forecast period. LNG engine is extensively used in a wide range of applications such as marine, power generation, and transportation.
Based on end use, marine is anticipated to be a highly lucrative segment of the global LNG engine market during the forecast period. The IMO 2020 regulation has established guidelines to reduce pollution and the amount of sulfur oxide emission from ships. The usage of LNG engine is estimated to reduce sulfur oxide (SOx) emissions by 90%-95%. This is projected to boost the demand for LNG engine in the marine sector.
Ships run on bunker fuel, which causes high level of pollution. Greenhouse gases are also a major concern across the globe. Every year, air pollutants such as carbon monoxide, nitrogen oxide, sulfur oxide, and particulate matter are released in large amounts into the environment. Governments of various countries across the world are implementing rules and regulations to reduce pollution. This is anticipated to propel the global LNG engine market.
In 2017, the U.S. Government and the Government of Canada passed bills to formulate fuel-sulfur limits and NOx emissions in emission control areas in North America. These areas include coastal waters of up to 200 nautical miles from coasts of Alaska and Hawaii.
Vessels entering these areas must meet the requirement that fuel-sulfur concentrations should not exceed 0.10 weight%. Engines above 130 kW installed on vessels built, since 2000 must be certified to meet appropriate emission standards corresponding to the building date of vessels. Engines installed on new and modified vessels are subject to the Annex VI Tier III NOx standards.
From January 1, 2020, member countries of the European Union have been mandated to ensure that ships in all European Union waters, except SOx, use fuels with sulfur content of no more than 0.5%. Furthermore, all ships passing through these NOx emission control areas must use defined mandatory engine standards or equivalent NOx emission reduction technologies to comply with the stringent NOx emission levels.
LNG engines can play a major role in reducing pollution, as these vessels run on liquefied natural gas. LNG engines help lower greenhouse gas emissions and provide a cost competitive fuel choice versus conventional fuels. Thus, implementation of stringent government regulations to lower emissions is estimated to drive the global LNG engine market during the forecast period.
Rise in Usage of LNG Engine in Power Generation and Marine Sectors
The LNG engine market in Asia Pacific is projected to expand significantly during the forecast period. Asia Pacific is witnessing significant investment in LNG facilities. China, Japan, South Korea, and India are also investing substantially in LNG power generation. This is likely to propel the LNG engine market during the forecast period.
Europe held major share of the global LNG engine market in 2020. The marine industry is well-established in the region. Europe is focusing on lowering the use of fossil fuels to meet the emission targets set by governments of countries in the region. Companies and government bodies in Europe are investing significantly in renewable energy and green fuels to be emission free by 2050. This can be ascribed to propel the demand for LNG engines in the near future, thereby augmenting the LNG engine market in the region.
Major players operating in the global LNG engine market are Cummins Inc., Fairbanks Morse, Caterpillar, Wärtsilä Corporation, Rolls-Royce plc, MAN Energy Solutions, Anglo Belgian Corporation nv, MITSUBISHI HEAVY INDUSTRIES, LTD., HHI Engine & Machinery, DAIHATSU DIESEL MFG. CO., LTD., and Scania.
|Market Size||US$ 2.5 billion by 2030|
|Growth Rate||CAGR of 6.1% From 2021 to 2030|
|Historic Data||2017 to 2020|
|Forecast Period||2021 to 2030|
|Segments Covered||Type, End Use|
|Regional Scope||North America, Europe, Asia Pacific, Latin America, Middle East & Africa (MEA)|
|Companies Mentioned||Cummins Inc., Fairbanks Morse, Caterpillar, Wärtsilä Corporation, Rolls-Royce plc, MAN Energy Solutions, Anglo Belgian Corporation nv, MITSUBISHI HEAVY INDUSTRIES, LTD., HHI Engine & Machinery, DAIHATSU DIESEL MFG. CO., LTD., and Scania|
This report focuses on LNG engine market includes crucial information on market share, market size, and growth rate for the forecast period 2021 to 2030 at the global level, regional level and company level. From a global perspective, this report represents overall LNG engine market size by analyzing historical data and future prospect. The study highlights deep analysis on the major drivers of the market, restraints, and challenges to help the business owners, suppliers, and marketing personnel in planning effective strategies for the forecast period. This will help the business and manufacturers to lead the market and gain prominent position in future. The report also presents vital information through graphical representation on factors like table, charts, and statistics. The study includes drivers and restraints of the global LNG engine market.
The research not only conducts forecasts in terms of value, but also evaluates the market on the basis of essential parameters, such as Year-on-Year (Y-o-Y) growth. This helps providers to recognize the future opportunities as well predictability of the market.
In order to understand and assess opportunities in this market, the report is categorically divided into five key sections on the basis of segments. The report analyzes the global market in terms of value (US$ dollers) and volume (Million Units).
The research report includes specific segments by region (country), by company, by all segments. This study provides information about the growth and revenue during the historic and forecasted period of 2017 to 2030. Every segment is further sub-segmented into several sub-segmented that are deeply analyzed by experts to offer valuable information to the buyers and market players. Understanding the segments helps in identifying the importance of different factors that aid the market growth.
Major Key Points Covered in Report:
Executive Summary: It includes key trends of the LNG engine market related to products, applications, and other crucial factors. It also provides analysis of the competitive landscape and CAGR and market size of the LNG engine market based on production and revenue.
Production and Consumption by Region: It covers all regional markets to which the research study relates. Prices and key players in addition to production and consumption in each regional market are discussed.
Key Players: Here, the report throws light on financial ratios, pricing structure, production cost, gross profit, sales volume, revenue, and gross margin of leading and prominent companies competing in the LNG engine market.
Market Segments: This part of the report discusses about product, application and other segments of the LNG engine market based on market share, CAGR, market size, and various other factors.
Research Methodology: This section discusses about the research methodology and approach used to prepare the report. It covers data triangulation, market breakdown, market size estimation, and research design and/or programs.
The research report includes a detailed study of regions of North America, Europe, China, Japan and Rest of the World. The report has been curated after observing and studying various factors that determine regional growth such as economic, environmental, social, technological, and political status of the particular region. Analysts have studied the data of revenue and manufacturers of each region. This section analyses region-wise revenue and volume for the forecast period of 2017 to 2030. These analyses will help the reader to understand the potential worth of investment in a particular region.
The report provides in-depth segment analysis of the global LNG engine market, thereby providing valuable insights at macro as well as micro levels. Analysis of major countries, which hold growth opportunities or account for significant share has also been included as part of geographic analysis of the LNG engine market.
The report includes country-wise and region-wise market size for the period 2017-2030. It also includes market size and forecast by segments in terms of production capacity, price and revenue for the period 2017-2030.
This section of the report identifies various key manufacturers of the market. It helps the reader understand the strategies and collaborations that players are focusing on combat competition in the market. The comprehensive report provides a significant microscopic look at the market. The reader can identify the footprints of the manufacturers by knowing about the global revenue of manufacturers, the global price of manufacturers, and sales by manufacturers during the forecast period of 2017 to 2019.
The analysts have provided a comprehensive analysis of the competitive landscape of the global LNG engine market with the company market structure and market share analysis of the top players. The innovative trends and developments, mergers and acquisitions, product portfolio, and new product innovation expected to provide a dashboard view of the market, ultimately providing the readers accurate measure of the current market developments, business strategies, and key financials.
Major manufacturers & their revenues, percentage splits, market shares, growth rates and breakdowns of the product markets are determined through secondary sources and verified through the primary sources.
Top-down and bottom-up approaches are used to estimate and validate the global market size for company, regional division, product type and application (end users) and other segments.
The research methodology adopted by analysts for compiling the global LNG engine market report is based on detailed primary as well as secondary research. With the help of in-depth insights of the market-affiliated information that is obtained and legitimated by market-admissible resources, analysts have offered riveting observations and authentic forecasts for the global market.
During the primary research phase, analysts interviewed market stakeholders, investors, brand managers, vice presidents, and sales and marketing managers. Based on data obtained through interviews of genuine resources, analysts have emphasized the changing scenario of the global market.
For secondary research, analysts scrutinized numerous annual report publications, white papers, market association publications, and company websites to obtain the necessary understanding of the global LNG engine market.
The study objectives of this report are: