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    Off-Highway Turbocharger Market Report

    Off-Highway Turbocharger Market Report
    Report code - SR2650 Published On : Oct,2024 No. of Pages: 144
    Off-Highway Turbochargers Market Size, Share, Trend, Forecast, Competitive Analysis, and G See more...

    Market Insights

    “The off-highway turbochargers market stood at US$ 2.5 Billion in 2023 and is likely to grow at a modest CAGR of 2.8% in the long run to reach US$ 3.2 Billion in 2030.”

    Market Dynamics

    Introduction

    The turbocharger is a mature device that has been refined over the past century to achieve the right compromise between competing requirements. Efficiency, boost pressure, and range are all crucial requirements, but so are low inertia to combat turbo lag, and low cost for commercial success. Durability and service life are other prerequisites for off-highway applications. Some recent developments in the turbocharger realm include small, high-speed electric machines and solid-state power switching for electrically assisted turbocharging and e-boosting.

    The marine industry has been experiencing the most disruptive journey in the past few decades, with the key emerging trends being net zero emissions, fuel efficiency, alternative fuels, and increasing lifespan. There was a fleeting demand surge in 2023, predominantly fueled by incessant strengthening demand for the merchant marine and gas compression business. This boom is anticipated to seep well into the first half of 2024. The momentum is anticipated to start normalizing by the second half of the year.

    The energy industry has been shifting to the renewables trend for the past few years, and the rising electrification trend is creating a demand for turbochargers for grid balancing from ICE. Unremitting demand from new data centers that require turbochargers for emergency power is likely to give a thrust to market growth.

    Recent Market Collaborations/Partnerships:

    A huge number of strategic collaborations have been performed over the past few years:

    • In 2020, Imperial and Mitsubishi launched a turbocharger center to develop cleaner engines and more efficient through innovative designs for turbochargers. Detailed research will be carried out to improve engine performance and operation and enable low-carbon engine technology.
    • In 2021, Rolls-Royce and MAN Energy Solutions signed an agreement for a strategic partnership under which MAN's PBST brand will distribute state-of-the-art MTU turbochargers, developed and produced in-house by Rolls-Royce Power Systems, these turbochargers will thus be made available in additional markets.
    • In 2022, Accelleron, formerly known as ABB Turbocharging, and Japan Engine Corporation (J-ENG) have inked an agreement allowing Accelleron turbochargers to be utilized in UE Engines, one of the top three manufacturers of low-speed marine engines worldwide.
    • In 2022, Mitsubishi Heavy Industries Marine Machinery & Equipment Co., Ltd. (MHI-MME) concluded a licensing agreement, giving Mitsui E&S Machinery Co., Ltd. rights to manufacture and sell its MET turbochargers. 
    • In 2022, the new TCT axial-turbocharger series from MAN Energy Solutions was licensed by Mitsui E&S Machinery for Mitsui's two-stroke engines. The new TCT axial-turbocharger series will be provided by MAN Energy Solutions under the terms of the 10-year contract.

    Segments' Analysis

    Segmentations

    List of Sub-Segments

    Segments with High Growth Opportunity

    End-Use Industry Analysis

    Marine, Energy, Rail, and Others

    Marine is expected to be the biggest demand-generator for turbochargers by 2030.

    Mode of Operation-Type Analysis

    Radial Turbochargers and Axial Turbochargers

    Radial turbochargers are anticipated to remain the dominant mode of operation by 2030.

    Technology-Type Analysis

    Single Turbo, Twin-Turbo, Electro-Assist Turbo (EAT), and Variable Geometry Turbo (VGT)

    Single turbo is expected to remain at the forefront throughout the study period. EAT to offer lucrative growth opportunities.

    Engine-Type Analysis

    Low- & Medium-Speed Engine and High-Speed Engine

    Low- & medium-speed engines are likely to grab a bigger share of the market by 2030.

    Sales-Type Analysis

    Products and Services

    Services generated a higher demand, whereas products grew at a higher rate.

    Regional Analysis

    North America, Europe, Asia-Pacific, and The Rest of the World

    Asia-Pacific took the biggest chunk of the market and is also expected to mark the highest growth.

     

    By End-Use Industry Type

    Marine is expected to remain dominant whereas rail is anticipated to be the fastest-growing end-use industry during the forecast period.

    • Turbochargers are used in a wide array of marine vessels such as bulk carriers, container ships, recreational boats, military vehicles, and cruise ships.
    • Increasing demand for large commercial ships owing to a rise in international trade. The average useful life of a turbocharger is 20-30 years, usually, they are highly customized.
    • Within the marine segment, commercial ships captured the largest chunk. Low- & medium-speed engines are highly preferred in commercial ships.
    • For rail, turbocharging can provide up to 400% more power than a naturally aspirated engine of a similar size, enabling manufacturers to use smaller engines without an impact on performance.

    By Mode of Operation Type

    Radial turbochargers are expected to remain the dominant and faster-growing mode of operation during the forecast period.

    • The market is segmented into radial turbochargers and axial turbochargers.
    • Radial turbochargers are more used in the 0.5-6,000 KW range, for both auxiliary as well as main medium-speed engines.
      • Radial turbochargers are generally simpler and cheaper to manufacture and maintain and are particularly beneficial in applications where rapid start-up is important, due to their compact size and robust blades.
      • Key players are the Accelleron (ABB), Mitsubishi Heavy Industries, MAN Energy Solutions, etc.
    • The usage of axial turbochargers is expected to grow in two-stroke engines with the increase in the penetration of low- & medium-speed engines.

    By Technology Type

    Single turbo maintained an unequivocal lead in the market from 2018-2023 and is expected to continue dominating the market during the forecast period as well.

    • The market is segmented into single turbo, twin-turbo, electro-assist turbo, and variable geometry turbo.
    • A single turbo takes up much less space than a twin-turbo and cools better. The single turbo itself, as well as its installation, is more cost-efficient. As opposed to twin-turbo, it produces a maximum boost at higher RPM (revolutions per minute).
    • A single turbo is preferably used in powerboats and cruise applications.
    • Two-stroke engines are more often used for low-speed engines, especially in marine applications.
    • Electric assist turbo is mainly used in low-speed engines, and it helps in reducing emissions and noise coming from engines.

    By Engine Type

    Low- & medium-speed engines maintained an unequivocal lead in the market from 2018-2023 and are expected to continue dominating the market during the forecast period as well.

    • The market is segmented into low- & medium-speed engines and high-speed engines.
    • Low & medium-speed engines are the major market category in marine, whereas high-speed engines are preferred in the energy category.
    • Low-speed engine is preferred in commercial ships, especially merchant ships with single engine sizes of 8-80 MW. The medium-speed engine is preferred for coastal and inland vessels, offshore vessels, ferries, and cruise ships (2-20 MW single engine size). 

    Regional Analysis

    Asia-Pacific is expected to remain the largest market for off-highway turbochargers during the forecast period.

    • Asia-Pacific to hold its unassailable lead by 2030.
    • Increasing presence of all major turbocharger manufacturers for both products and services.
    • Huge commercial shipbuilding in three countries (China, South Korea, and Japan).
    • Asia-Pacific is expected to maintain a 50% share of global primary energy demand and a 60% share of global carbon emissions by 2050.
    • Key players in the region are Mitsubishi Heavy Industries, BorgWarner Turbo Systems, Cummins Inc., Acelleron (ABB), and MAN Energy Solutions.

    Key Players

    The market is moderately consolidated with the presence of <50 players globally. Established companies with a long history in the industry have a competitive advantage due to their technological know-how, research & development, and established customer relationships. To enhance their market position and expand their offerings, companies partake in collaborations or partnerships. The following are the key players in the off-highway turbochargers market:

    Here is the list of the Top Players (Based on Dominance)

    • Accelleron (ABB LTD.)
    • Mitsubishi Heavy Industries Engine & Turbocharger, Ltd.
    • Cummins Inc.
    • MAN Energy Solutions SE
    • MTU Friedrichshafen GmbH
    • Wabtech Corporation
    • Kompressorenbau Bannewitz GmbH
    • BorgWarner Turbo Systems GmbH

    Note: The above list does not necessarily include all the top players in the market.

    Are you the leading player in this market? We would love to include your name. Write to us at sales@stratviewresearch.com

    Report Feature

    This report provides market intelligence most comprehensively. The report structure has been kept such that it offers maximum business value. It provides critical insights into market dynamics and will enable strategic decision-making for existing market players as well as those willing to enter the market. The following are the key features of the report:

    • Market structure: Overview, industry life cycle analysis, supply chain analysis.
    • Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
    • Market trend and forecast analysis.
    • Market segment trend and forecast.
    • Competitive landscape and dynamics: Market share, Service portfolio, New Product Launches, etc.
    • COVID-19 impact and its recovery curve
    • Attractive market segments and associated growth opportunities.
    • Emerging trends.
    • Strategic growth opportunities for the existing and new players.
    • Key success factors.

    The global off-highway turbochargers market is segmented into the following categories:

    By End-Use Industry Type

    • Marine 
    • Energy 
    • Rail 
    • Others 

    By Mode of Operation Type

    • Radial Turbocharger
    • Axial Turbocharger 

    By Technology Type

    • Single Turbo 
    • Twin Turbo 
    • Electro-Assist Turbo 
    • Variable Geometry Turbo 

    By Engine Type

    • Low- & Medium-Speed Engine 
    • High-Speed Engine 

    By Sales Type

    • Product 
    • Services 

    By Region

    • North America (Country Analysis: The USA, Canada, and Mexico)
    • Europe (Country Analysis: Germany, France, The UK, Russia, Italy, and Rest of Europe)
    • Asia-Pacific (Country Analysis: Japan, China, India, and Rest of Asia-Pacific)
    • Rest of the World (Country Analysis: Saudi Arabia, Brazil, and Others)

    Research Methodology

    • This strategic assessment report from Stratview Research provides a comprehensive analysis that reflects today’s off-highway turbochargers market realities and future market possibilities for the forecast period.
    • The report segments and analyzes the market in the most detailed manner to provide a panoramic view of the market.
    • The vital data/information provided in the report can play a crucial role for market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate growth strategies to expedite their growth process.
    • This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.
    • More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data.
    • We conducted more than 15 detailed primary interviews with market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

    Customization Options

    With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

    Company Profiling

    • Detailed profiling of additional market players (up to three players)
    • SWOT analysis of key players (up to three players)

    Competitive Benchmarking

    • Benchmarking of key players on the following parameters: Service portfolio, geographical reach, regional presence, and strategic alliances

    Custom Research: Stratview Research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com

    Frequently Asked Questions (FAQ)

    The off-highway turbochargers market is estimated to grow at a CAGR of 2.8% by 2030, driven by rowing requirements for minimizing operating cost and increasing engine efficiency, increasing energy transition, electrification trend, inclination towards decreasing fuel consumption and emission level coupled with stringent maritime emission regulatory norms, and increasing environmental concerns.

    Accelleron (ABB LTD.), Mitsubishi Heavy Industries Engine & Turbocharger, Ltd., Cummins Inc., MAN Energy Solutions SE, and MTU Friedrichshafen GmbH are the leading players in the off-highway turbochargers market.

    Services are expected to be dominant in the market in the coming years. A large fleet of turbochargers paired with its long life (20-30 years) call for consistent services which include overhaul, repair, reconditioning, testing, and installation.

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