The global offshore crane market is projected to reach USD 21.64 Billion by 2020 from an estimated USD 14.19 Billion in 2015. The worldwide growing offshore E&P activities will increase the demand for oil rigs. With increase in oil rigs, the market for rig construction equipment and construction vessels will also increase. This in turn, will propel the market for cranes on oil rig. These factors expected to drive the growth of the offshore crane market.
Increasing oil discoveries in emerging economies such as Asia and Africa are major drivers for this market. The growth in emerging economies is attributed to increasing capital expenditures in the countries such as China, India, Nigeria, Angola, Ghana, and Equatorial Guinea. Kenya, Tanzania, and Mozambique also provide exciting market opportunities for oil operators in the near future. Increasing deep water drilling activities all around the globe is another major driver for the offshore crane market.
The Asia-Pacific region dominates the offshore crane market and is estimated to grow at a good pace in the next five years. The growth is attributed to the increase in offshore E&P activities in China, Malaysia, Australia, and Thailand.
The American offshore crane market rated second after Asia-Pacific. This market is projected to grow at a highest growth rate. The growth is attributed to the increase in the offshore vessel demand in offshore regions of the U.S., Gulf of Mexico, and Brazil. Secondly, liberalization of Mexican oil & gas industry is another key driver fueling the demand for the offshore crane market.
The offshore crane market in Europe is driven by the increase in the offshore wind power generation. High capacity tower cranes are required to install wind turbines. With the increase in offshore wind power generation capacity, the market for offshore cranes will also increase.
Nearly half of the offshore crane market is covered by marine cranes applications, but with the advent of advanced technology, the operators are entering into deepwater and ultra-deepwater oil & gas zones. This will also propel the market further for oil rig application.
Moreover, decreasing production in shallow water basins and large potential of untapped subsea hydrocarbon reserves are contributing in the increased focus in deepwater drilling. There has been increasing deepwater oil discoveries in India, Africa, Australia, the U.S., Russia, and Norway. Oil discoveries in African region especially in Ghana, Congo, Mozambique, and Angola are creating lucrative business opportunities, where offshore drilling market players are trying to focus to enhance their revenue.
Some of the leading players in the offshore crane market include Liebherr (Switzerland), Cargotec (Finland), Terex Corporation (France), Konecranes (France), and Zoomlion (U.S.) among others. Award recognition was the most commonly used strategy by top players in the market, constituting half of the total development share. It was followed by new product launches, expansion, and other developments.
The major player of offshore crane market also faces some challenges into the market like high environmental risk, decline in offshore support vessel demand, and others.