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Ship Building in the US - Industry Market Research Report

  • June 2017
  • 40 pages
  • Ibisworld
Report ID: 167937

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Staying afloat: Despite a decline in orders, military shipbuilding and modernization will bolster revenue

Abstract
Ship Building in the US

Over the past five years, the Ship Building industry has slowly sailed rough seas as demand from the military and commercial markets fluctuated. As a result of pressured military funding and recession-induced commercial backlog decline, demand for shipbuilding declined in the early part of the five-year period. However, the boom in US oil and natural gas production has recently led to a surge in demand for energy-related vessels.

Over the next five years, the industry is anticipated to catch more wind from renewed funding for military ships and continued demand for energy industry-related vessels. As the US Navy attempts to meets its objective of creating a fleet to meet the challenges of the coming years, demand for new naval vessels will rise. However, sequestration and other government spending cuts could derail the Navy’s procurement plans, while volatile energy prices might dampen demand for oil and gas-related vessels.

Shipbuilders operate shipyards, which are fixed facilities with dry docks and fabrication equipment capable of building a ship. A ship is defined as watercraft typically suitable or intended for use other than for personal or recreational purposes. Shipyard activities include ship construction, repair, conversion and alteration; the production of prefabricated ship and barge sections; and specialized services, such as ship scaling.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.

MAJOR COMPANIES
- General Dynamics Corp.
- Huntington Ingalls Industries Inc.

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