Report shows sector optimism despite consolidation

The SMM Maritime Industry Report, prepared jointly by Hamburg Messe & Congress GmbH (HMC) as the organiser of SMM, showed some respondents “clearly” view the growth prospects as positive, indicating an increasing willingness to invest.

One survey result revealed 20% of responding decision-makers consider it as ‘very likely’, and an additional 12% as ‘likely’ that they will order new ships within the next 12 months.

“This is especially surprising considering the fact that this value is far above the typical fleet rejuvenation rate,” commented Dr Max Johns, managing director of the German Shipowners Association VDR.

LNG popular

Following the entry into force of the Ballast Water Convention of the International Maritime Organisation (IMO), 54% of responding shipowner CEOs intend to retrofit their ships accordingly.

The industry is homing in on LNG as an alternative to conventional ship fuels, confirmed the report.

44% of respondents said LNG is their first choice when contemplating ship newbuilding orders.

But hybrid solutions based on marine diesel are likewise popular.

The supply industry agrees, with 49% of respondents saying they consider LNG as the champion among alternative fuels.

Rise of automation

Also notable is that 36% of shipowner executives consider autonomous shipping to be the future of merchant shipping. 90% of those in support believe that the use of unmanned ships will be routine in as little as 20 years.

The maritime sector is already showing great interest in remote monitoring of ships and ways to protect ships against cybercrime.

“The opportunities and challenges of digitalisation are on everybody’s mind in this industry. Therefore this topic will play a key role at SMM 2018, for example during the Maritime Future Summit,” said business unit director HMC Selbach.

Technology potential high

New technologies that can be helpful in optimising processes and increasing efficiency are in demand. Accordingly, 66% of respondents from supply companies see a ‘high’ or ‘very high’ sales potential for their products in the market.

The responding suppliers believe that the German, Chinese and US markets have the highest growth potential.