CABLE LAYING VESSEL MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2023 - 2030)

Market Challenges And Opportunities

Global Cable Laying Vessel Market Drivers:

• Expanding offshore renewable energy projects: The rapid growth in offshore wind farms and increasing focus on offshore renewable energy integration are major factors driving the demand for cable laying vessel Governments worldwide are encouraging offshore wind projects to meet renewable energy targets. For instance, the new offshore wind target of the European Union stands at 300 GW by 2050. This will require extensive deployment of submarine power cables, creating substantial demand for cable laying vessel
• Rising offshore oil and gas exploration and production: The growing number of offshore oil and gas projects in deep and ultra-deep waters globally is a key driver for the cable laying vessel market. These complex projects require subsea cables and umbilicals to connect various components. For instance, the Cortez Subsea Cable Project laid two intra-field cables of around 100 km length at depths up to 3,400 meters. Such projects will drive the demand for advanced cable ships.
• Investments in offshore power grid networks: Several undersea high-voltage direct current (HVDC) cable network projects are being constructed globally to connect offshore wind capacity and enable power trading between countries. For example, the North Sea Wind Power Hub plans to build an artificial island with interconnections to countries for exchanging renewable energy. Such investments in offshore power transmission infrastructure support the cable laying vessel market.
• Upgrades to aging subsea infrastructure: Aging subsea cables used for power transmission, telecom networks, and oil & gas operations require upgrades and repairs, driving the demand for cable laying vessel For instance, the 20-year-old Basslink HVDC interconnector between Tasmania and Australia had an outage in 2015 due to a faulty cable, requiring cable repairs and service restoration activities.

Global Cable Laying Vessel Market Opportunities:

• Offshore renewable energy targets in Asia Pacific: Governments in Asia Pacific are implementing ambitious offshore wind and marine renewable energy targets, creating substantial opportunities for cable installation contractors. For instance, Taiwan aims to install 5.7 GW of offshore wind capacity by 2025 and Japan plans 10 GW by 2030. This will drive demand for efficient cable laying vessel in the region.
• Emergence of hybrid power systems: The integration of offshore wind with oil & gas platforms for providing continuous power is an emerging opportunity for cable laying vessel Hybrid offshore power systems to supply wind energy to oil platforms are gaining traction. Chevron has installed a wind turbine to power the Petronius oil platform in the Gulf of Mexico.
• Advancements in cable laying vessel capabilities: Increasing opportunities from deeper waters, high-voltage cables, and complex offshore projects is driving advances in cable laying ships. For instance, cable lay vessel are equipped with dynamic positioning capabilities, increased cable capacity, and innovative carousels to handle wider cable ranges. This supports market growth.
• Offshore wind project expansion in Europe: Europe will continue to dominate in offshore wind capacity additions over the next decade. Major projects in the planning stage such as Dogger Bank Wind Farms in the UK and Noriker Iskenderun project in Turkey will create substantial demand for capable cable laying vessel till 2030.

• High costs of cable laying vessel
• Logistical complexities
• Shortage of skilled workforce
• Counterbalance: Despite the challenges in the cable laying vessel industry, there are several counterbalances to consider. Innovations in vessel design and technology are driving down construction costs, making them more accessible. Collaborative efforts within the industry have led to improved logistics solutions, reducing complexities and associated expenses. Additionally, investments in training programs and educational initiatives are addressing the shortage of skilled workers, gradually expanding the pool of qualified professionals. As the demand for underwater cable infrastructure continues to rise, these efforts promise to foster a more sustainable and cost-effective market growth, ultimately benefitting the cable laying industry.