Wind-Assisted Propulsion Market - A Global and Regional Analysis: Focus on Application, Technology, Installation Type, Vessel Type, and Region - Analysis and Forecast, 2023-2032

Report Highlights

Global Wind-Assisted Propulsion Market to Reach $18,859.1 Million by 2032

Wind-Assisted Propulsion Market: Industry Overview

Wind-assisted propulsion is classified within energy efficiency indices as an ""energy harvesting"" technology, given its utilization of wind to directly augment thrust. Nevertheless, operational costs remain subject to weather-related uncertainties. However, the advantages of sailing can be amplified through the application of weather routing algorithms, which can chart optimal routes tailored to specific vessels. Nonetheless, the widespread adoption of wind-assisted propulsion systems (WAPSs) faces several hurdles, including the imperative need for reliable and efficient technologies capable of functioning effectively across diverse environmental conditions.

While there is a prospect for wind propulsion systems to become more cost-effective in the future, these presently represent substantial investments. The absence of a standardized approach to designing, constructing, and integrating wind-assisted propulsion systems on board vessels makes it challenging to attain the economies of scale and consistent production required to reduce costs. Wind-assisted propulsion systems is expected to boom over the next decade as it acts as a substitute to fuel types such as green methanol, biofuels, green hydrogen and others.

Market Lifecycle Stage

The wind-assisted propulsion is in its initial stage of commercialization, while some of the technologies, such as hull form, are in their developing stage. The ecosystem of the wind-assisted propulsion market comprises wind-assisted propulsion manufacturers, technology providers, ship-building companies, and shipowners. The market is still developing, with Europe at the forefront, followed by other regions such as Asia-Pacific and Japan, China, Rest-of-the-World, North America, and the U.K.

Industrial Impact

Sea shipping is a cornerstone of global trade and the primary mode for transporting goods across the world. However, the maritime industry has long been recognized as a significant contributor to greenhouse gas (GHG) emissions, largely due to the use of fossil fuels for propulsion. In light of the urgent need to combat climate change and reduce carbon emissions, the maritime sector is experiencing a profound transformation. Wind energy, harnessed through innovative technologies such as kite propulsion systems and other wind-assisted solutions, is poised to play a pivotal role in helping the marine shipping industry achieve its ambitious goals for GHG emission reduction. By tapping into the inexhaustible and clean power of the wind, the maritime sector can significantly enhance its sustainability and reduce its carbon footprint. This transition aligns with global efforts to create a more environmentally responsible and sustainable future, making wind energy a crucial ally in the journey toward greener and more efficient maritime transportation.

Market Segmentation:

Segmentation 1: by Application

• Cargo Ships
  • Tankers
  • Car Carriers/Ro-Ro Vessels
  • Container Ships
  • General Cargo Vessels
• Passenger Ships
• Fishing Vessels
• Bulk Carriers

Wind-assisted propulsion is expected to have a high penetration in cargo ships, among other applications, over the forecast period 2023-2032, owing to the increased initiatives by the maritime industry related to decarbonization.

Segmentation 2: by Technology

• Towing Kites
• Sails
  • Soft-Wing Sails
  • Hard-Wing Sails
• Flettner Rotors
• Suction Wings
• Others

Based on technology, the wind-assisted propulsion market is estimated to be led by the sails segment during the forecast period of 2023-2032.

Segmentation 3: by Installation Type

• Retrofit
• New Installation

Based on installation type, the wind-assisted propulsion market was led by the retrofit segment in 2022.

Segmentation 4: by Vessel Type

• Wind-Assisted Motor Vessels
• Purely Wind Vessels

Based on vessel type, the wind-assisted propulsion market is estimated to be led by the wind-assisted motor vessels segment during the forecast period of 2023-2032.

Segmentation 5: by Region

• North America
• Europe - Germany, Greece, France, Norway, Finland, and Rest-of-Europe
• China
• U.K.
• Asia-Pacific and Japan - Japan, South Korea, Singapore, and Rest-of-Asia-Pacific and Japan
• Rest-of-the-World

In the global wind-assisted propulsion market, Asia-Pacific and Japan and Europe are anticipated to gain traction in terms of wind-assisted propulsion production, owing to the increased need for decarbonization in the regions.

Recent Developments in the Wind-Assisted Propulsion Market

• In May 2022, Econowind and Vertom jointly announced their partnership to equip multiple vessels with wind-assist VentoFoil units by the end of 2022. The initial installations would take place on the general cargo vessels MV Progress and MV Perfect, marking the first fleet order for Econowind.
• In April 2021, BAR Technologies and Yara Marine Technologies entered into an exclusive agreement to collaborate on the design and deployment of wind-assisted propulsion systems for the worldwide shipping sector. Utilizing solid wing sails, this innovative solution is expected to provide the shipping industry with potential fuel efficiency savings of up to 30%.
• In June 2021, Alfa Laval and Wallenius revealed their plan to establish a new joint venture with a 50/50 ownership structure. This joint venture, named AlfaWall Oceanbird, would be dedicated to advancing and implementing technology for entirely wind-powered vessel propulsion.
• In September 2023, Airbus plans to install new fuel-saving sails for its maritime operations. The company intends to outfit one of its vessels, which it uses for transporting aircraft subassemblies, and is chartered from shipowner Louis Dreyfus Armateurs, with wind-assisted propulsion technology. This technology harnesses wind energy to generate thrust, resulting in significant fuel consumption and CO2 emission savings.

Demand - Drivers and Limitations

The following are the demand drivers for the wind-assisted propulsion market:

• Increasing Need for Reducing GHG Emissions
• Rise in Sea Trade

The market is expected to face some limitations due to the following challenges:

• High Installation Cost of Wind-Assisted Propulsion Systems
• Technical Challenges Resisting the Adoption of Wind-Assisted Propulsion