Digital Shipyard Market - Forecasts from 2024 to 2029

The digital shipyard market was valued at US$1.324 billion in 2022.

The concept of a Global Digital Shipyard marks a pivotal transformation in the landscape of the shipbuilding industry, denoting the comprehensive assimilation of cutting-edge digital technologies. This assimilation paves the way for an unparalleled enhancement in the efficiency of the entire shipbuilding lifecycle, spanning from the initial design phase to the construction and subsequent maintenance stages. Leveraging the prowess of advanced digital tools, encompassing the likes of 3D printing, virtual reality simulations, and artificial intelligence, serves as a catalyst for multifaceted advancements. Notably, the application of 3D printing stands as a cornerstone in revolutionizing the traditional manufacturing process, facilitating the precise fabrication of intricate ship components while concurrently curbing the reliance on labour-intensive methods. Similarly, the integration of virtual reality enables the emulation of intricate ship designs, facilitating thorough testing and validation well before the commencement of the physical construction, thus mitigating potential errors and inefficiencies. Additionally, the strategic deployment of artificial intelligence aids in the seamless analysis of copious amounts of data, thereby enabling the optimization of critical facets of the shipbuilding process. Undoubtedly, the emergence of the Global Digital Shipyard as an innovative trend within the shipbuilding domain signals not only a surge in operational efficacy but also harbours the promise of unprecedented growth and pioneering advancements within the industry.

Introduction:

The Global Digital Shipyard market, which encompasses the integration of digital technologies into the shipbuilding sector, is poised for substantial growth in the foreseeable future. This anticipated expansion is primarily attributed to the surging global demand for cargo ships, coupled with the pressing need for the optimization and streamlining of the shipbuilding processes. Notably, the market is bifurcated into distinct categories, namely military and commercial shipyards, with the technologies employed spanning an extensive array, including artificial intelligence, big data analytics, robotic process automation, augmented reality, virtual reality, digital twin, blockchain, and the industrial Internet of Things. Furthermore, the market is stratified based on the level of digitalization, distinguishing between semi and fully digital shipyards, each catering to specific industry requirements. Projections indicate that the commercial segment is poised to dominate the market owing to the relentless expansion of maritime trade activities. Notably, an impressive roster of key market players is actively engaged in the digital shipyard sphere, including prominent names such as Accenture, Altair Engineering Inc., Aras, AVEVA Group Plc, BAE Systems Plc, Damen Shipyards Group, Dassault Systems, Hexagon AB, iBASEt, Inmarsat Global Limited, Crandon Production Systems BV, Kreyon Systems Pvt. Ltd., Pemamek OY, PROSTEP AG, SAP SE, Siemens, and Wartsila. Geographically, the Asia-Pacific region emerges as the frontrunner, representing the largest regional market for Digital Shipyard. The market research reports furnish comprehensive analyses of the industry, with a keen focus on critical elements such as key players, shipyard types, technology platforms, and the degree of digitalization within digital shipyards. These reports serve as valuable resources for stakeholders and industry participants seeking to grasp the nuances and dynamics of the Digital Shipyard market.

Drivers:

• Increase in demand for cargo ships:With the continuous surge in maritime trade, the global demand for cargo ships has witnessed a remarkable upsurge, prompting a crucial need for technological advancements in the shipbuilding industry. Integrating cutting-edge digital technologies in the shipbuilding process not only holds the potential to streamline and optimize the intricate stages of construction but also presents a viable opportunity to curtail operational costs and enhance overall operational efficiency. Leveraging digital tools such as advanced design software, precision manufacturing techniques, and automated assembly processes can not only expedite the production timeline but also contribute to the development of more robust and environmentally sustainable vessels, aligning with the evolving standards of the modern shipping industry. Moreover, the integration of real-time monitoring systems and data analytics can significantly improve maintenance protocols, ensuring the longevity and reliability of the vessels, thereby establishing a more resilient and competitive maritime transport network on a global scale.
• Environmental concerns:The shipping industry, a vital component of global trade and commerce, has long been identified as a substantial source of carbon emissions, contributing significantly to environmental degradation and climate change. Vessels powered by conventional fossil fuels have traditionally been a major culprit in this regard. However, the integration of innovative digital technologies, including the revolutionary concept of digital twin technology, offers a promising avenue to mitigate the adverse environmental impact associated with maritime transportation. By employing digital twins, which are virtual replicas of physical assets, shipping companies can enhance operational efficiency, optimize vessel performance, and minimize fuel consumption. Real-time monitoring, predictive maintenance, and advanced simulations enabled by this technology not only streamline logistical processes but also facilitate more precise energy management, leading to a notable reduction in the carbon footprint generated by the shipping industry. This transformative shift toward digitalization underscores a proactive approach to sustainable practices within the maritime sector, fostering a greener future for global shipping operations.
• Adoption of digital twin technology:Digital twin technology, essentially a precise digital replica of a physical asset, serves as a powerful tool for simulating and fine-tuning the performance of the asset in question. By creating a virtual counterpart that mirrors the exact specifications and characteristics of the physical asset, digital twin technology enables a comprehensive understanding of the asset's behaviour and functionality. Leveraging advanced computational models, it offers a dynamic platform for conducting various simulations and analyses, thus facilitating the identification of potential inefficiencies and areas for improvement. This technology has garnered significant attention in the context of shipbuilding, where its integration can streamline and optimize the complex processes involved in constructing vessels. Through the application of digital twin technology, shipbuilders can mitigate the potential risks of errors and miscalculations, ultimately enhancing the overall efficiency and quality of the shipbuilding process.
• Technological advancements:The rapid advancement and integration of groundbreaking digital technologies, including sophisticated artificial intelligence systems, cutting-edge big data analytics tools, and immersive augmented reality applications, have significantly paved the way for transformative enhancements within the shipbuilding domain. These innovative digital solutions have the potential to revolutionize various aspects of the shipbuilding process, ranging from the initial design and planning phases to the construction, testing, and maintenance stages. By leveraging artificial intelligence algorithms, shipbuilders can streamline intricate tasks, optimize resource allocation, and ensure precise quality control throughout the manufacturing process. Additionally, the utilization of comprehensive big data analytics enables the collection, analysis, and interpretation of vast amounts of complex data, facilitating informed decision-making, proactive risk management, and the identification of potential performance bottlenecks. Furthermore, the integration of augmented reality technologies empowers shipbuilding teams to visualize intricate design concepts in real time, conduct immersive training simulations, and enhance on-site collaboration, thereby fostering a more streamlined, efficient, and collaborative shipbuilding ecosystem.
• Rise in automation:The implementation of robotic process automation (RPA) within the shipbuilding industry has proven to be a transformative approach, facilitating a significant reduction in the necessity for manual labor and a notable enhancement in precision. This integration of advanced automation technologies has consequently led to a noteworthy decrease in operational costs, primarily attributed to the reduced requirement for human resources, while concurrently fostering an unparalleled increase in the overall efficiency of the shipbuilding process. By delegating repetitive and labour-intensive tasks to robotic systems, shipbuilders can focus on more intricate and value-adding aspects of the construction process, thereby expediting production timelines and ensuring a higher standard of quality control. This streamlined approach to shipbuilding not only bolsters the competitive edge of shipbuilding companies but also contributes to the broader evolution of the maritime industry, as it adapts to the modern demands of a rapidly changing global market.

Products offered by key companies:

• AVEVA's ship operations solutions can help ship owners and operators to improve the efficiency of their operations by automating tasks, providing real-time insights, and enabling better collaboration.
• Dassault Systems can help shipyards to automate tasks, improve communication and collaboration, and optimize their production processes.

Prominent growth in the commercial segment within the global digital shipyard market:

The commercial segment is poised to witness substantial growth within the Global Digital Shipyard market. This upsurge can be attributed to the progressive digitalization of commercial shipyards, which has enabled commercial ship owners and operators to effectively curtail lifecycle costs, actively pursue capital enhancements, streamline construction procedures, bolster operational availability, and minimize overall overhead expenses related to ship operation. Forecasts indicate that the commercial segment will assert its dominance in the market, primarily propelled by the escalating demand for cargo ships and the pressing need to optimize the shipbuilding process. With the escalation of maritime trade, there has been a notable surge in the requisition for cargo ships, prompting an increased integration of digital technologies in shipbuilding. This integration serves to streamline operations, curtail costs, and amplify overall operational efficiency. Moreover, the commercial segment is anticipated to leverage the adoption of digital twin technology, thereby contributing to the reduction of the carbon footprint engendered by the shipping industry. As the market is segmented into semi and fully digital-shipyards, these divisions are indicative of the diverse degrees of digitalization embraced within the industry.

The Asia Pacific region is expected to hold a significant share of the global digital shipyard market:

The Asia Pacific region is anticipated to dominate a substantial portion of the global digital shipyard market owing to a multitude of factors. Notably, this region has undergone rapid economic expansion over the years, fostering a significant upsurge in maritime trade activities. As the demand for advancements in various processes, expeditious deliveries, cost reduction, and stringent regulatory standards escalates, it is projected to witness further growth during the forecast period, particularly in emerging economies such as India and China. The Asia Pacific region stands as a pivotal center for shipbuilding, with leading market positions held by prominent countries such as China, South Korea, and Japan. As the shipbuilding industry continues to thrive in this region, the call for digital shipyard solutions becomes imperative to streamline operations, optimize resources, and effectively meet the mounting demand for ships. A notable surge in demand for shipbuilding automation has been observed in response to the labor scarcity that transpired during the pandemic. In this context, digital shipyard solutions have emerged as a crucial asset, facilitating automation capabilities that effectively mitigate the challenges posed by labour shortages and consequentially augment overall productivity within the Asia Pacific shipbuilding industry.

Market developments:

• In November 2022, Dassault Systèmes and Samsung Heavy Industries (SHI) partnered to develop a smart shipyard using digital twin technologies. This collaboration will transform SHI's shipyard operations and support its business goals.
• In February 2021.Damen Shipyards Group has partnered with Sea Machines Robotics to develop and implement collision avoidance technology on Damen ships. This partnership supports Damen's strategic goals of digitalization, sustainability, and operational excellence.

Segments

By Shipyard Type

• Commercial
• Military

By Technology

• AR & VR
• Digital twin & simulation
• AI & Big data analytics
• Robotics process automation
• Cloud computing
• Blockchain
• Others

By Capacity

• Large
• Medium
• Small

By Digitization Level

• Full
• Partial
• Semi

By End User

• Implementation
• Upgrades and services

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Israel
• Others
• Asia Pacific
• Japan
• China
• India
• South Korea
• Indonesia
• Thailand
• Others