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Dredging Market | China Construction Communication Company (CCCC), Hyundai Engineering & Construction, Samsung Engineering & Construction, Toa Corporation are dominant players in this category of dredging business

04-19-2019 12:44 PM CET | Business, Economy, Finances, Banking & Insurance

Press release from: Fact.MR

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Dredging

Dredging

Efficiently-designed and well-constructed sea ports are viewed as the bedrock upon which a region’s infrastructure is developed and maintained. Across the globe, freight transportation is widely achieved by sea, urging regional governments to employ dredging throughout their shores. Capital dredging remains principal in ensuring an effective and safe docking of cargo ships, fishing boats, passenger ferries, and all kinds of vessels that afloat the international waters.

Fact.MR’s recently collated study foretells that the dredging market will record a modest 2.7% CAGR between the forecast 2017 and 2022. An effective dredging service can directly improve the social and economic development of a region by providing deeper channels to protect the submerged depends of ships. The maritime infrastructure sector continues to witness diversity in dredging techniques, with some offering maintenance of port access channels while others being designed on the basis of characteristics of the soil being dredged. In the foreseeable.

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With the world population expanding in the coastal areas, more land requires to be protected and reclaimed. In addition, a rise in sea levels has been observed, on the back of global warming, is increasing risk of natural calamities, particularly in the coastal areas. Owing to these incidences, the dredging market has been gaining traction over the past few years.

Various initiatives are being taken by the governments as well as the global leaders in the dredging market, in order to support and enhance the dredging activities. For example – the U.S. Army Corps of Engineers (USACE), along with five ports of the Lower Columbia River are commencing process of public scoping for preparing a long-term maintenance plan and an integrated statement of environmental impact for the federal navigation channel of the Lower Columbia River. Such initiatives will continue to influence growth of the dredging market in the near future.

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Dredging Market: Opportunities Abundant in Urban Development

While dredging seeks extensive application across various areas ranging from trade activity to coastal protection, revenues from dredging activities in urban development will increase at a relatively higher rate through 2022, according to the study. Rapid rise in urbanization has resulted in development of cities in terms of growth and innovation in recent years. The 2016 report of the UN Habitat states that over 54% of the global population resides in cities. With urbanization illustrating no signs of abating, more people are moving to cities, thereby putting pressure on administrators to offer space amidst influx of population density growth in their area.

In dredging market, land reclamation is gaining traction as go-to option among city planners, who deal with overwhelming pressures of urbanization. This has further led to immense requirement for dredging activities, which in turn has been favoring growth of the dredging market. Urban development entailed requirement for dredging has remained dominant in the dredging market, and the status quo is likely to prevail in the near future.

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The swell in infrastructure activities worldwide has driven the requirement for expansion of the existing ports, along with the development of new ones. This has further underpinned expansion of the dredging market significantly. Considering the fact that, bulk activities of the global trade are carried out via sea, maintenance of existing pathways, while creating new ones, is gaining increased emphasis. Dredging activities related to trade maintenance are likely to hold major revenue share of the dredging market, second to that of urban development related activities.

Preeminence of Asia-Pacific excluding Japan (APEJ) in the dredging market is likely to prevail in the upcoming years. In North America, majority of the dredging market is likely to remain consolidated in the U.S. Revenues from the dredging market in the U.S are set to exceed US$ 1,300 Mn by 2022-end. In Europe, the U.K., France and Germany will collaboratively lead the dredging market, with the study estimating these European countries to collectively account for US$ 1,800 Mn revenues by 2022-end.

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