Exclusive extracts from this 116-page-long report:
- What is the business?
Shipbuilding companies specialise in the construction, maintenance, and repair of larger, mainly seagoing, vessels. The construction business is the largest in revenue terms and can be segmented into three main categories: vessels for the merchant fleet (cargo or passenger transport), structures for the offshore energy industry, and vessels for military purposes. […]
- What are the main markets?
Although production is concentrated in East Asia, European shipping, cruising, and energy companies are the shipbuilding industry's main customers, accounting for close to a third of global demand. That said, the Chinese, Japanese, and South Korean governments also play an important role in supporting their respective industries, ensuring that the latter stayed afloat amid the recent market downturn. […]
- Who are the key players?
The shipbuilding industry is dominated by East Asian players, in particular China, Japan, and South Korea (85% of the world's production of non-military vessels in 2016). East Asian players tend to specialise in merchant ships and offshore vessels, while European producers are leaders in the high-added-value cruise ship segment. […]
- How intense is competition?
Rivalry in the shipbuilding industry has been growing over the past few years, on the back of a marked fall in demand volumes and newbuilding prices. With fewer orders, shipbuilders are forced to cut prices to retain market share, while they increasingly compete in high-value, technology-intensive segments, such as LNG-propelled vessels and cruise ships. In addition, the competitive landscape has been profoundly altered by the rapid emergence of state-supported Chinese shipbuilders, which now account for more than a third of global production. […]