Europe Dominates Cable Laying Vessel Market, Asia Pacific Set for Rapid Growth
14 Jan, 2025
The global cable laying vessel market provides specialized ships for deployment of power cables and communication cables offshore. These vessels have dynamic positioning systems enabling precise laying of subsea cables. Rising offshore wind installations have increased demand for cable laying vessels.
The Global Cable Laying Vessel Market is estimated to be valued at US$ 780 Mn in 2024 and is expected to exhibit a CAGR of 30% over the forecast period 2024 to 2031. Key Takeaways Key players operating in the cable laying vessel market are Aerodelft, Aerovironment, Inc., Airbus S.A.S., Alaka’i Technologies, Hes Energy Systems, Pipistrel D.O.O., PJSC Tupolev, and The Boeing Company. Offshore wind installations are rapidly growing, especially in Europe and Asia which presents significant opportunities for cable laying vessel manufacturers and service providers in the coming years. Major vessel manufacturers are expanding globally by setting up new yards and collaborating with local players to cater to rising overseas demand. Market drivers and restrain Increasing investments in offshore wind farms are a major driver of Cable Laying Vessel Market Demand. As more countries commit to transitioning to renewable energy sources, offshore wind capacity addition is expected to accelerate globally. Europe currently dominates the global offshore wind market, with substantial funds being invested in projects across countries like Germany, the UK, and the Netherlands.
which is fueling demand for cable laying vessels in the region. However, high capital costs associated with cable laying vessels pose a major challenge. The vessels require specialized features and equipment which results in capital expenditures of over $100 million. This acts as a barrier, especially for smaller players and restricts market growth.
Segment Analysis The cable laying vessel market can be segmented by service into installation and repair. Installation dominates the market as new projects for offshore wind farms across Europe and investments in telecom infra are leading to demand for new subsea cable installation vessels. These vessels are equipped with dynamic positioning systems, cables tanks, cable engines and plows required for cable laying operations. Global Analysis Europe dominates the regional analysis of the cable laying vessel market currently. This is due to the significant investments planned across major economies of Western Europe like UK, Germany, Belgium and Netherlands for setting up new offshore wind projects which will require subsea cables to deliver the power generated to the onshore grids.
Several new build cable laying vessels are being ordered to meet the demand. Asia Pacific is expected to be the fastest growing market during the forecast period with countries like China, India and Japan spending heavily on upgrading telecom and power transmission infra involving extensive undersea cabling works.
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