The underwater connectors market size was valued at USD 1.61 billion in 2020. The market is projected to rise from USD 1.66 billion in 2021 to USD 2.45 billion by 2028 at 6.01% CAGR during the forecast period 2021-2028. Fortune Business Insights™ has deep-dived into these insights in its latest research report, titled, “Underwater Connectors Market, 2021-2028.”
According to the study, a host of manned and unmanned underwater vehicles has gained traction following the demand for autonomous underwater vehicles and remotely operated vehicles. Manufacturers have exhibited a profound inclination for marine engineering equipment to explore growth potentials in the oil and gas sector.
Fluctuating Demand in Marine Sector amidst Pandemic to Hamper Industry Outlook
A potential disruption in the marine sector did not bode well for the industry outlook as investments in the shipbuilding sector observed a dip. Plunge in shipbuilding activities across maritime trade, offshore services, and maritime export challenged companies striving to bolster their portfolios. The UNCTAD projected a 4.1% drop in the global maritime trade in 2020 due to the COVID-19 outbreak. Disruptions in supply chains, ports and shipping networks are likely to compel leading companies to rethink their strategies.
In terms of type, the market is segmented into electrical mateable, rigid shell, rubber molded, and inductive coupling.
Based on application, the market is segregated into unmanned underwater vehicle, defense, oil & gas, oceanography, and telecommunication.
With respect to connection, the market is fragmented into hybrid, optical fiber, and electrical.
On the basis of geography, the market includes North America, Asia Pacific, Europe, and the Rest of the World.
The report includes quantitative and qualitative analysis to provide a holistic view of the global market. The report also deep-dives into top-down and bottom-up approaches to provide a strategic approach on product mapping of new entrants and leading players. Primary sources, such as interviews with major stakeholders and opinion leaders, will validate the report’s authenticity. The report includes secondary sources, including annual reports, press releases, SEC filings and website reports to bolster the authenticity of the report.
Drivers and Restraints
Rising Exploration Activities to Underpin Growth Potentials
Industry players are likely to witness an exponential demand for autonomous underwater vehicles for ocean current profile with tides, sub-bottom profiling, optical imagery, and salinity profiles. Considering the demand for AUV systems to collate information, the underwater connectors market share is likely to gain traction. Prominently, in October 2021, India’s National Institute of Ocean Technology rolled out a deep-sea exploration mission to develop, test, and manufacture underwater deep-sea exploration vessels. Moreover, advancements in the subsurface fleet and development of submarines could add fillip to industry growth. Notably, the U.S. Navy has upped efforts to foster unmanned underwater capabilities.
However, soaring installation and maintenance costs could dent the penetration of underwater connectors.
Investments in Defense Sector to Bolster North America Market
Stakeholders envisage the U.S. as a lucrative investment hub in the wake of the trend for modernization of the submarine fleet. For instance, the U.S. Navy spurred the submarine portfolio through the expansion of the naval sector. The North America market outlook will be strong during the forecast period on the back of expansion of defense and unmanned underwater vehicle applications.
The Asia Pacific underwater connectors market growth will be pronounced in the wake of soaring expenditure in mining, deep-sea exploration, oil & gas, and defense sectors. Stakeholders expect India, China, Australia, and Japan to lead from the front following the technological advancements and integration of unmanned underwater vehicles.
Underwater connectors will be sought-after across Europe, owing to the presence of prominent OEMs, including Fischer Connectors S.A., Eaton, and TE Connectivity. Notably, the trend for electrical mateable and inductive coupling will further the demand for connectors across end-use applications.
Industry Players to Focus on Product Portfolio Expansion to Bolster Footfall
Leading companies are likely to emphasize strategic approaches, including product launches, mergers & acquisitions, R&D activities, and technological advancements. Current trends suggest key players could invest in strategic expansion during the forecast period.
Key Industry Development
July 2020 – Oceaneering International Inc. inked a contract to provide several monobore diverless connectors for an offshore Western Australia project. Under the contract, the company supplied 3-inch M5 connectors that will be used for Chemical Inhibitor (CI) and Monoethylene Glycol (MEG) service on the field subsea distribution system
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