LPG Tanker Market – Global Industry Analysis and Forecast (2024-2030)

LPG Tanker Market size was valued at US$ 201.82 Mn. in 2023 and the total revenue is expected to grow at a CAGR of 5.3% from 2024 to 2030, reaching nearly US$ 289.72 Mn.
LPG Tanker Market Overview:
LPG Tanker Market is expected to reach US$ 289.72 Mn. by 2030. Bulk transportation of petroleum gases is done using liquefied petroleum gas (LPG) tankers. It consists of various reservoirs that are piled in cargo holds. This report focuses on the different segments of the LPG Tanker market (Vessel Size, Refrigeration & Pressurization, and Region). The leading industry players and regions are thoroughly examined in this report (North America, Asia Pacific, Europe, Middle East & Africa, and South America). It's a thorough examination of today's quick advances in a variety of sectors. Facts and figures, visualisations, and presentations are used to highlight the primary data analysis from 2023 to 2030. The market drivers, restraints, opportunities, and challenges for LPG Tanker are examined in this report. The MMR report's investment suggestions are based on a thorough examination of the current competitive environment in the LPG Tanker market.To know about the Research Methodology :- Request Free Sample Report

COVID-19 Impact on the LPG Tanker Market:

Many LPG producing businesses had to suspend operations as a result of the COVID-19 outbreak in order to adhere to new regulatory rules. The revenue flow of the LPG Tanker market is directly impacted by this interruption in operations. Manufacturers were influenced by the COVID-19 supply chain block comprising raw materials and intermediates. During the first several months of the pandemic, logistics costs rose. The ongoing COVID-19 pandemic compelled businesses to reassess their industrial strategies.

The COVID-19 pandemic imposed trade restrictions and decreased global demand for LPG across a range of end-use sectors. The growing trade between the United States and the Asia Pacific is estimated to boost the LPG demand. Thus, a decline in demand across several global markets is hampering the growth of the LPG tanker market.
LPG Tanker Market Dynamics:
During the forecast period, the market's growth rate is expected to be driven by a significant increase in shale gas production. Major firms turned their attention to producing oil and gas from shale rock as a result of the instability in crude oil prices, along with advancements in hydraulic fracturing and horizontal drilling techniques. It is also expected that shifting attention to shale gas production will accelerate market growth during the forecast period. During the forecast period, the demand for liquefied petroleum gas (LPG) tankers is likely to be outpaced by the increasing trade ties between the United States and the APAC regions for shale gas because to the lower cost of transportation.

Demand for liquefied petroleum gas from petrochemical companies increased as a result of the instability in crude oil prices, and this demand is expected to support demand for liquefied petroleum gas tankers over the forecast period. However, unstable crude oil prices led to amplified LPG prices and reduced demand, which are expected to hamper market growth throughout the forecast period. Demand for liquefied petroleum gas in many sectors slightly decreased as a result of the COVID-19 pandemic's sudden outbreak. Demand for liquefied petroleum gas began to increase in 2021, and during the forecast period, more liquefied petroleum gas will be traded between the United States and Asian nations. Additionally, because of how COVID-19 is affecting the companies, new orders are probably going to stay low in 2022.

But other ships are already on the order book and will deliver their LPG to the specified sites. Businesses operating in the nation are updating their current fleets. To maintain the demanding climate, they are regularly launching LPG carriers based on the most recent technologies. For instance, in December 2021, NYK stated that Kawasaki Heavy Industries would be developing its first two dual-fuel free VLGC tankers. By 2024, they are expected to be delivered. In order to adapt quickly to changing trade trends, these vessels will be fitted with separate cargo tanks that can transport LPG and ammonia at the same time.
LPG Tanker Market Segment Analysis:
The LPG Tanker Market is segmented by Vessel Size, and Refrigeration & Pressurization.

Based on the Vessel Size, the market is segmented into Very Large Gas Carriers (VLGC), Large Gas Carriers (LGC), Medium Gas Carriers (MGC), and Small Gas Carriers (SGC). Very Large Gas Carriers (VLGC) segment is expected to hold the largest market share of xx% by 2030. Longer distance LPG gas transmission across many nations frequently involves the use of very large gas carriers. The main driver of the segment's growth is the development of trade ties for liquefied petroleum gas between nations, particularly those in Western Africa, Europe, and the Middle East, as well as the United States. However, it is expected that the LGC would narrowly outperform during the forecast period. The global market is likewise heavily dominated by large gas carriers.

Innovation in LGC development is one of the important market trends that has been observed and is expected to accelerate market growth. For instance, the shipping company Exmar, located in Belgium, just delivered its largest dual-fuel LPG carrier, Flanders Innovation, which has an 88,000 cbm capacity. The LPG carrier is 230 metres long, 36.6 metres wide, and has a deadweight tonnage of 55,100 tonnes. Compared to the IMO reference lines, the vessel's dual fuel technology is expected to cut CO2 emissions by around 38%. The primary factor expected to drive the growth of the LGC and MGC segments is the increasing extraction and production of shale gas along with exporting domestic liquefied petroleum gas.

Based on the Refrigeration & Pressurization, the market is segmented into Ethylene, Full Refrigerated, Semi Refrigerated, and Full Pressurized. Full Pressurized segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2024-2030. During the forecast period, the fully pressurised segment is expected to continue to be in the lead. As the volume of LPG carried rises, it is expected that the market would grow steadily across all categories. Fully-refrigerated varieties of VLGCs are designed for long distances and have a gas carrying capacity of 15,000 m3 to 85,000 m3. Such ships can operate with vessels that can withstand a maximum working pressure of 0.28 kg/cm2 and a minimum operating temperature of –50 oC. Since ethylene requires additional refrigeration for safe global shipping, carriers are seen as a distinct industry segment.

Semi Refrigerated segment is expected to grow rapidly at a CAGR of xx% during the forecast period 2024-2030. Due to the Type C tank, these vessels are comparable to full-pressure vessels. The pressure vessel in this situation is typically rated for a maximum working pressure of 57 bars. The ship can carry up to 7,500 m3 of liquefied gas and is mostly utilised for this purpose. In comparison to a fully pressurised container, decompression can lower the thickness of the tank, but at the expense of additional freezing systems and tank insulation. These ships have tanks that can be cylindrical, conical, or spherical and are constructed of steel that can resist temperatures of up to 10 °C. Typically, a tiny ship carrier is a full-pressure vessel. For the shipment spaces of about 7,500m3, semi-refrigerated techniques are employed.
LPG Tanker Market Regional Insights:
Europe region is expected to dominate the LPG Tanker Market during the forecast period 2024-2030. Europe region is expected to hold the largest market share of xx% by 2030. Due to government initiatives and poor domestic production, the market in Europe is largely driven by an increase in LPG demand, which raises the demand for LPG tankers to allow imports.

The North American region is expected to grow rapidly at a CAGR of xx% during the forecast period 2024-2030. North America exported LPG at a global rate of 15.0% in 2023, valued at USD 40 billion, according to the Observatory of Economic Complexity (OEC). In addition, the use of LPG as a cooking fuel is expected to raise demand for the fuel in the United States, Canada, and Mexico. In these nations, LPG is also used for heating purposes in residential structures throughout the winter.

The objective of the report is to present a comprehensive analysis of the Global LPG Tanker Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market has been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Global LPG Tanker Market dynamic and structure by analyzing the market segments and projecting the Global LPG Tanker Market size. Clear representation of competitive analysis of key players by Distribution Channel, price, financial position, product portfolio, growth strategies, and regional presence in the LPG Tanker Market make the report investor’s guide.
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Global LPG Tanker Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 201.82 Mn.


Forecast Period 2024 to 2030 CAGR:
5.3%
Market Size in 2030:
US $ 289.72  Mn.


 Segments Covered:
by Vessel Size
Very Large Gas Carriers (VLGC)
Large Gas Carriers (LGC)
Medium Gas Carriers (MGC)
Small Gas Carriers (SGC)


by Refrigeration & Pressurization
Ethylene
Full Refrigerated
Semi Refrigerated
Full Pressurized



LPG Tanker Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
LPG Tanker Market Key Players
1.StealthGas Inc.
2.Dorian LPG Ltd.
3.BW Group
4.Hyundai Heavy Industries Co. Ltd.
5.Kawasaki Heavy Industries Ltd.
6.DSME
7.Mitsubishi Heavy Industries Ltd.
8.The Great Eastern Shipping Co. Ltd.
9.Kuwait Oil Tanker Company
10.DAE Sun Shipbuilding and Engineering Co. Ltd.
11.Namura Shipbuilding Co. Ltd.
12.EXMAR
13.STX Corporation
14.PT Pertamina
15.Epic Gas Ltd.
16.Meyer Turku
17.Hanjin Heavy Industries Ltd.
18.Hijos de J. Barreras

Frequently Asked Questions:

1] Which region is expected to hold the highest share in the LPG Tanker Market?
Ans. Europe region is expected to hold the highest share in the LPG Tanker Market.

2] Who are the top key players in the LPG Tanker Market?
Ans. StealthGas Inc., Dorian LPG Ltd., BW Group, Hyundai Heavy Industries Co. Ltd., and Kawasaki Heavy Industries Ltd are the top key players in the LPG Tanker Market.

3] Which segment is expected to hold the largest market share in the LPG Tanker Market by 2030?
Ans. Very Large Gas Carriers (VLGC) segment is expected to hold the largest market share in the LPG Tanker Market by 2030.

4] What is the market size of the LPG Tanker Market by 2030?
Ans. The market size of the LPG Tanker Market is expected to reach US $ 289.72 Mn. by 2030.

5] What was the market size of the LPG Tanker Market in 2023?
Ans. The market size of the LPG Tanker Market was worth US $201.82 Mn. in 2023.