Global Automatic Identification Systems Market to Reach US$310.9 Million by the Year 2026
The global market for Automatic Identification Systems estimated at US$231.3 Million in the year 2020, is projected to reach a revised size of US$310.9 Million by 2026, growing at a CAGR of 5.2% over the analysis period.
With AIS, it is possible to transmit accurate information, quickly and dynamically. All these advantages offered by AIS devices helped in market growth over the past many years. Another primary reason for increase in growth for the market for AIS devices is the expansion of applications. There are now several new maritime applications for which AIS has been made compulsory.
Initially, deployment of AIS on vessels was only for collision prevention and safety but the technology’s flexibility enabled new applications like allowing cost-effective navigation. Oil companies and large shipping operators are the primary end-users of AIS devices. AIS was also employed for identifying how the pandemic impacted fishing activity globally.
Class A, one of the segments analyzed in the report, is projected to grow at a 5.6% CAGR to reach US$160.6 Million by the end of the analysis period.
After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Class B segment is readjusted to a revised 5.1% CAGR for the next 7-year period. This segment currently accounts for a 28.7% share of the global Automatic Identification Systems market.
The Class A segment is gaining from mandatory installation of Class A AIS on Safety of Life at Sea (SOLAS) vessels. These vessels encompass passenger ships of all sizes, vessels exceeding the 500 gross tonnage mark but not intended for international voyages, and vessels that exceed the 300 gross tonnage mark and move on international voyages.
While Class B AIS scores low over Class A options in terms of functionality, they can be used with Class A AIS for communications and operations.
AIS Base Stations Segment to Reach $70.7 Million by 2026
In the global AIS Base Stations segment, USA, Canada, Japan, China and Europe will drive the 4.2% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$43.8 Million in the year 2020 will reach a projected size of US$58.7 Million by the close of the analysis period.
China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$9.1 Million by the year 2026.
The U.S. Market is Estimated at $76.4 Million in 2021, While China is Forecast to Reach $44.7 Million by 2026
The Automatic Identification Systems market in the U.S. is estimated at US$76.4 Million in the year 2021. The country currently accounts for a 32% share in the global market. China, the world’s second largest economy, is forecast to reach an estimated market size of US$44.7 Million in the year 2026 trailing a CAGR of 6.7% through the analysis period.
Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 3.9% and 4.2% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 4.5% CAGR while Rest of European market (as defined in the study) will reach US$26.9 Million by the end of the analysis period.
North American and European markets are currently the largest for AIS devices. These regions depend heavily on water transportation for cross border trade. The large coastline of North America requires constant monitoring. This combined with growing trade and other commercial activities is promoting the need for enhanced maritime surveillance.
Also, quite a few AIS device manufacturers are based in this region. Growth is significant in the Asia-Pacific market, where countries like South Korea, India and China are trying to strengthen their maritime security and increase cross border trade.
This article was shared with Prittle Prattle News as a Press Release by PRNewswire