Global marine port services market is likely to exhibit a promising growth curve as far as the short-term outlook is considered. The report will uncover the insights into how the market growth will unfold in the next few years.
Unprecedented Growth of Marine Transportation Industry Bolsters Marine Port Services Market
Since the COVID-19 pandemic began in early 2020, the maritime industry's worldwide supply chain had to deal with several difficulties. The global marine port services business was plagued for the majority of 2020 and 2021 by port closures brought on by coronavirus outbreaks, port congestion, rising bunker fuel prices, and issues with capacity utilization. International commerce and economic cycles directly impact the need for port services for ships. The pandemic's lower output and consumption also resulted in a decline in marine trade, impacting port traffic and shipping demand. The need for container transit has decreased, which has decreased activity in container handling ports. Consequently, the marine port services market has suffered due to COVID-19 due to declining demands for maritime port services. As reported by "The United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP)," the volume of containers shipped globally decreased by 5.1% in Q1 2020 compared to the same time in 2019. According to the International Chamber of Shipping, the pandemic cost the shipping sector US$350 Mn per week in lost income. On the other hand, operators of marine port services have reported record-high profit margins in 2021 thanks to the recent increase in container freight prices.
As container shipping plays a significant role in international trade and the growth of the marine port services sector, the marine port services market has a bright future. The main growth-promoting factors for this market are the marine transportation sector's rapid expansion, rising consumer demand, the opening of new ports in numerous countries, and the rising demand for bulk and containerized cargo. Vessel traffic services, privatization of marine ports, self-unloading bulk, and carrier technology are some new trends propelling the marine port services market for marine port services. Ports are gradually implementing innovations across the entire value chain using various technologies. Examples include platform solutions, robots, and the Internet of Things (IoT) for loading and unloading. For storage facilities at ports, smart energy management, predictive maintenance, and smart grid technology are utilized, and for industrial processes, big data analytics, and smart meters—for instance, Awake in 2020. To create the smart port project, the Port of Rotterdam chose AI. Awake. With no risk to the port's extensive operations, AI created a smart ship port call management system to test every transformative procedure.
Marine Port Services Market: COVID-19 Impact
Several nations have shut down their ports, airports, and domestic and international transit because of the COVID-19 epidemic and lockdowns. This had an effect on manufacturing operations and activities worldwide and had a negative influence on the economies of numerous nations. Lockdowns that were either whole or partial nationwide had a significant impact on both the supply- and demand-sides of the industrial industry. Production slowed as a result of the abrupt and severe decline in economic activity, which also greatly reduced employment. Demand-side difficulties resulting from decreased discretionary income, depleted savings, and elevated worries and uncertainties further exacerbated supply effects. Due to liquidity issues and limited working capital, small firms and retailers were the ones who were initially most negatively impacted by the second wave. This remained a major growth influnecer for marine port services market.
Furthermore, the impact on the healthcare infrastructure was especially significant because of systemic problems that made it impossible to accommodate patients and caused a lack of essential supplies and medical equipment. Restrictions on the number of workers and personnel permitted to work on work floors, in office and factory settings, etc., at any given time, as well as companies' continued adherence to strict safety regulations and social distancing norms, continue to have an impact on a variety of industries and sectors. Operations and supply chains have been severely hampered by the emergence of viral variations, an increase in infection rates during the early waves, and subsequent lockdowns.
Marine Port Services Market Accelerates in Line with Rising Maritime Trade
Data from the United Nations Conference on Trade and Development (UNCTAD) show that during the past few decades, globalization has led to a sharp increase in the marine trade. Between 1990 and 2020, the total seaborne trade more than doubled. The worldwide seaborne trade was predicted to be close to 11 billion tonnes in 2020. The boom in international sea trade is anticipated to boost demand for product marine transport, a cornerstone of world trade and the global economy. During forecasting for the global marine vessel industry, an increase in seaborne trade across the globe is anticipated to fuel the expansion of marine port services market. According to Maritime Publications, almost 80% of global trade by volume and 70% by value is conducted by sea. They are entirely under the jurisdiction of ports throughout the world. The rapid growth of developing nations and globalization are also anticipated to significantly impact the expansion of marine trade.
Growth in Container Handling Services Boosts Marine Port Services Market Growth
It is believed that 80% of all goods are transported by sea, making maritime shipping the foundation of global trade. The amount of freight handled by ships has expanded along with the expansion of the global economy in recent decades. Global freight shipments in 2020 are expected to be 1.85 billion metric tonnes. The size of the world's container fleet has increased as well. A value of 123.3 was recorded for the global container shipping throughput in January 2022, up from 118.2 in December 2021 but below the 124.3 reported in August 2021. Even after the index's sharp decline brought on by the COVID-19 epidemic, the trend is still upward overall. The number of containers moved globally decreased by around 0.8 percent in 2020 because of the COVID-19 epidemic. Compared to the prior year, when it had decreased by 3.2%, the throughput of containers in Europe soared in 2021, increasing by 4.6 percent. Better handling services are required to meet the growing commercial fleet demand. Therefore as the supply of commercial fleets grows, the marine port services market will also rise high. The number of ships of 100 gross tonnes or more in the world's commercial shipping fleet increased by 3% in 2020 to 99,800. A capacity of 2,13 billion deadweight tonnes existed as of January 2021.
Multiple Regulatory Authorities Influence Marine Port Services Market Expansion in Long Term
The continuing global transformation is anticipated to impact the shipping industry into a clean, green maritime sector. A growing number of stringent regulations proposed by international maritime environmental bodies covering ship recycling, sulphur emissions, and greenhouse gas emissions are expected to slow down the expansion of marine port services market to a certain extent. For instance, the IMO 2020 standard anticipates lowering the sulfur cap in fuel oils from 3.50% to 0.50 percent. By 2030, the IMO wants to cut the CO2 emissions from shipping by 40%. Furthermore, the IMO Energy Efficiency Design Index (EEDI) establishes challenging requirements for new ships.
With Increase in Container Cargo Traffic, Container Handling Services Sector will Dominate Marine Port Services Market
The market is divided based on service into mechanical and electrical engineering services, supply chain & logistics solution services, navigation services, ship repair & maintenance services, and container handling services. In 2020, the container handling services market share was the greatest; this dominance is anticipated to last the entire forecast period. The increase in container cargo traffic worldwide accounts for the segment's expansion in marine port services market. The majority of the demand, though, is anticipated to come from Asia. Nearly 65% of the world's container port throughput in 2019 was centered in Asia, according to UNCTAD. Over 50% of all container ports.
Asia Pacific Tops Marine Port Services Market Owing to Presence of Globally Leading Active Ports
The region with the biggest market share in 2020 is expected to maintain this leadership position during the forecast period. China, Singapore, Hong Kong, and South Korea are home to some of the busiest ports on earth, which will boost marine port services market expansion in the region. It is anticipated that as the middle class expands in Asian nations, there will be a strong market for European goods. This will boost commerce and stimulate port activity in Asia. Using more technologically advanced manufacturing techniques, such as 3D printing, is expected to promote the local production of goods, leading to the creation of the latest local trade channels and market expansion.
Global Marine Port Services Market: Competitive Landscape
AP Moller Maersk, DP World Limited, Hamburger Hafen Und Logistik AG, Hutchinson Whampoa Limited, Ningbo Zhoushan Port Company Limited, Shanghai International Port, Tianjin Port Development Holdings Ltd., International Container Terminal Services, Shipping Solutions and Services Ltd., CarboShield Inc., TomWorks LLC, Comet Industries, Port Authority of Jamaica, Montreal Port Authority, and Jacksonville Port Authority are just a few of the numerous domestic and international companies that operate in this industry, which is comparatively fragmented. These significant firms are putting money into cutting-edge technologies like automation, the Internet of Things (IoT), and others to develop smart ports. The basic goal is to develop connected, automated, and digital supply chains that require less physical labor. Additionally, major companies are working together to develop supply chain synergies inside their ecosystems and clusters.
In June 2022, DP World, and the Saudi Ports Authority announced significant new cooperation for the Jeddah logistics park. The construction of a cutting-edge, port-centric Logistics Park at the Jeddah Islamic Port is covered by this 30-year agreement with an investment value of more than SAR 500 million (US$133.33 Mn). A logistics park with a total area of 415,000 square meters, a capacity of about 250,000 TEU for in-land container depots, and 100,000 square meters for warehousing storage are intended to be established due to the deal. Upcoming additions might bring the storage area to 200,000 square meters.
Regional Classification of Global Marine Port Services Market Can be Given as Below:
Middle East and Africa
*Regions and countries are subject to change based on data availability.
Key Elements Included In The Study: Global Marine Port Services Market
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