Global Ship Exhaust Gas Scrubber Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Ship Exhaust Gas Scrubber Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

The overwhelming majority of ships around the world operate using engines and boilers powered by heavy fuel oil. The resulting combustion exhaust gases that are emitted contain soot and sulfur oxides that pollute the environment.

Ship Exhaust Gas Scrubber is a device installed onboard marine vessels that, quite literally, scrubs harmful sulfur oxides from exhaust gases. Ship Exhaust Gas Scrubber exhaust gas cleaning reduces Sulphur (SO2) and particulate emissions from ship engines, generators, and boilers. Scrubbers enable vessels to consume cheaper, high-sulfur fuel oil (HSFO) while still complying with mandated emissions levels. Vessels with scrubbing technology installed will be able to consume high-sulfur fuel at a significant discount to low-sulfur fuel.

This report mainly covers the Ship Exhaust Gas Scrubber product type: Open Loop Scrubbers, Closed Loop Scrubbers, and Hybrid scrubbers.

Market Overview:

The latest research study on the global Ship Exhaust Gas Scrubber market finds that the global Ship Exhaust Gas Scrubber market reached a value of USD 2976.03 million in 2022. It’s expected that the market will achieve USD 9147.21 million by 2028, exhibiting a CAGR of 20.58% during the forecast period.

Risk of market competition

The 2020 sulfur restriction order makes the ship exhaust gas scrubber market extremely hot, and the relatively huge and concentrated demand attracts the rapid entry of funds from all walks of life inside and outside the industry. However, after the strong demand in the industry, it may face the risk of falling demand and overcapacity.
In addition, it is not economical to install exhaust scrubber on ships over 10 years old. The demand for ship exhaust gas scrubber has exploded intensively in the recent two years. After two years, with the increase of low-sulfur fuel supply, high-sulfur fuel will not only be difficult to obtain, but also the price will rise because of scarcity, and the attractiveness of exhaust scrubber will be reduced. Therefore, the waste gas scrubber manufacturers should not only see the current market blowout demand and huge profits, but also see the potential risk of demand decline in the future and the possibility of new production lines being vacant, and make plans in advance.

Fluctuations in raw material prices

Raw materials are an important part of ship exhaust gas scrubber industry, accounting for most of the production cost. Generally speaking, the quality of raw materials directly affects the quality of ship exhaust gas scrubber. Since last year, the fluctuation of global commodity prices has intensified. Most ship exhaust gas scrubber manufacturers are facing the pressure of rising raw material costs, which brings a lot of troubles to their business operations. The market price of various chemical product, alloy raw materials has been rising continuously this year. The rising prices of raw materials have seriously affected the profits of enterprises. Therefore, if the company can't effectively reduce costs and improve efficiency, and maintain the bargaining power of product prices, there will be the risk of falling gross profit margin and performance.

Region Overview:

In global comparison, a significant portion of the revenue was generated in Asia Pacific (44.22% in 2021).

Company Overview:

Wrtsil is one of the major players operating in the Ship Exhaust Gas Scrubber market, holding a share of 31.72% in 2022.

Wrtsil

Wrtsil's purpose is to enable sustainable societies with smart technology. The demand for clean and flexible energy and the need for efficient and safe transportation are increasingly affecting the way that customers operate. This forms the basis for Wrtsil's offering of smart solutions to the marine and energy markets. With an integrated portfolio of services, systems and products, the company is well positioned to respond to the demand for energy efficient and innovative solutions. The emphasis is placed on optimizing installation performance throughout the lifecycle, using data analytics and artificial intelligence to support customers' business decisions.

Alfa Laval

Alfa Laval is a leading global provider of first-rate products in the areas of heat transfer, separation and fluid handling. With these as its base, Alfa Laval aims to help enhance the productivity and competitiveness of its customers in various industries throughout the world. Alfa Laval define their challenges and deliver sustainable products and solutions that meet their requirements mainly in energy, the environment, food and the marine industry.

Segmentation Overview:

As for product types, the Open Loop Scrubbers segment held the largest market share in 2021.

Open Loop Scrubbers

The system is extremely effective but requires large pumping capacity as the amount of seawater required is quite high. An open loop system works perfectly satisfactorily when the seawater used for scrubbing has sufficient alkalinity. However, sea water which is at high ambient temperature, fresh water and even brackish water, is not effective and cannot be used. An open loop scrubber for these reasons is not considered as a suitable technology for areas such as the Baltic where salinity levels are not high.

Closed Loop Scrubbers

It works on similar principals to an open loop system; it uses fresh water treated with a chemical (usually sodium hydroxide) instead of seawater as the scrubbing media. The SOx from the exhaust gas stream is converted into harmless sodium sulphate. Before being re-circulated for use, the wash water from a closed loop scrubber system is passed through a process tank where it is cleaned.

Hybrid Scrubbers

Hybrid scrubber Although it combines the advantages of open-loop and closed loop scrubbers, the biggest advantage of hybrid scrubbers is the flexibility they offer for operation regardless of the alkalinity of the area's water. So, when the ship is in a marine environment with high alkalinity, it operates in open-loop mode without the use of chemical additives. In contrast, in areas with reduced alkalinity it operates in closed-loop mode with the corresponding disadvantages and advantages. But the biggest disadvantage of hybrid scrubbers is the increased cost compared to open-loop and closed-loop scrubbers

Application Overview:

The market's largest segment by application is the segment Commercial Ships, with a market share of 89.26% in 2021.

Key Companies in the global Ship Exhaust Gas Scrubber market covered in Chapter 3:

Valmet
Clean Marine AS
Ecospray Technologies S.r.l.
ANDRITZ
Puyier
Saacke GmbH
Langh Tech Oy Ab
Pacific Green Marine
Yara
Fuji Electric
Alfa Laval
PureteQ A/S
VDL AEC Maritime
CR Ocean Engineering, LLC
Wärtsilä

In Chapter 4 and Chapter 14.2, on the basis of types, the Ship Exhaust Gas Scrubber market from 2018 to 2029 is primarily split into:

Open Loop Scrubbers
Closed Loop Scrubbers
Hybrid Scrubbers

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Ship Exhaust Gas Scrubber market from 2018 to 2029 covers:

Commercial Ships
Industrial Ships

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)