The global High Speed Engine Market is estimated to be valued at US$ 19.83 Bn in 2022 and is expected to exhibit a CAGR of 7.2% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
A high-speed engine refers to an internal combustion engine that is capable of operating at over 3,000 rpm. High-speed engines find widespread applications in automobiles, aircrafts, locomotives, marine vessels, and power generation systems. They offer superior power-to-weight ratio and better fuel efficiency as compared to low and medium speed engines. High-speed engines are manufactured using advanced alloys that can withstand high pressure and temperature generated inside the combustion chamber during operation. Their lighter weight also improves mobility and reduces energy costs.
Market key trends:
The growing global transportation sector, especially aviation and shipping industries, is a key factor propelling the demand for high-speed engines. Air passenger traffic has doubled over the past two decades and is expected to further grow exponentially in the coming years. This is driving the need for more fuel-efficient aircraft engines. Similarly, growing maritime trade has increased ship building activities worldwide. Ship owners prefer high-speed marine engines for their low operating costs. Another major trend is the increasing usage of gas turbines for power generation. Gas turbines fitted with high-speed engines offer reliable and flexible power output. Their ability to rapidly change power output makes them suitable for incorporating renewable energy sources in the grid.
Threat of new entrants: The threat of new entrants to the high speed engine market is moderate. There are high costs associated with R&D to develop new technologies needed to compete.
Bargaining power of buyers: The bargaining power of buyers is moderate. There are many established manufacturers providing high speed engines. However, buyers can negotiate on price and delivery terms.
Bargaining power of suppliers: The bargaining power of suppliers is low to moderate. Major raw materials like steel alloys are highly specialized and supplied by few companies globally. Suppliers have some control over pricing.
Threat of new substitutes: The threat of substitutes is moderate. Technologies like electric motors offer substitution over long run. However, established industries rely on high speed engines currently.
Competitive rivalry: Competition in the high speed engine market is high among leading players. Manufacturers compete on technological innovation, product performance, pricing and delivery.
The global High Speed Engine Market Share is expected to witness high growth, exhibiting CAGR of 7.2% over the forecast period 2023-2030, due to increasing application in marine, power generation and oil & gas industries.
Regionally, Asia Pacific dominated the market in 2023 with a share of over 35%, with China and Japan being the major countries. The region is expected to maintain its lead, growing at fastest pace during the forecast period, due to rapid industrialization and infrastructure development.
North America and Europe are other key regions, primarily driven by marine and power generation sectors. Strict emission regulations have pushed manufacturers to innovate in these regions.
Key players operating in the high speed engine market include GE, Siemens, Rolls-Royce, Kawasaki Heavy Industries, MAN Energy Solutions, Wartsila, Mitsubishi Heavy Industries, Harbin Turbine Company, and Solar Turbines. The market remains concentrated among these global established players, with continued focus on technological upgradations.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it