May 21, 2024
Global Hovercraft Market

The Global Hovercraft Market is poised for growth in trends by increased demand for effective amphibious transportation.

The hovercraft, also known as air-cushion vehicle (ACV) or aerodyne, is an amphibious craft capable of travelling over land, water, mud, ice, and other surfaces. It uses wing-in-ground-effect to glide over surfaces on a cushions of air, which provides buoyancy and traction. Hovercrafts offer several advantages over conventional boats, including lower fuel consumption, ability to traverse varied terrains, and higher speed of over 100 km/h. They are commonly used for civil passenger transportation, military operations, search and rescue missions, cargo transport and recreational activities.

The Global Hovercraft Market is estimated to be valued at US$ 268.1 million in 2024 and is expected to exhibit a CAGR of 5.2% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the hovercraft are Textron Inc., Universal Hovercraft Of America Inc., Vanair Hovercraft, Griffon Hoverwork Ltd, Garden Reach Shipbuilders And Engineers, Aerohod Ltd., Airlift Hovercraft Pty Ltd, The British Hovercraft Company Limited, Hovertechnics, Neoteric Hovercraft, Inc., Zodiac Milpro , PARMA Hovercraft, Amphibious Marine, Navtek India, Hoverstream, LLC. The global hovercraft market is witnessing increased demand due to their expanded applications in commercial transportation of passengers and cargo, military operations, and search & rescue activities.

Growing demand for amphibious vehicles with high mobility capabilities is fueling the Global Hovercraft Market Size. Their ability to traverse varied terrains including land, water, and marshy areas without requiring dedicated infrastructure makes them ideal for transportation where conventional boats cannot reach. Moreover, rising maritime security threats and natural calamities have boosted the procurement of hovercrafts for coast guard, navy and disaster management agencies globally.

Geographically, the hovercraft market is expanding significantly across Asia Pacific and Europe. In Asia, growing investments in amphibious vehicle fleets by coast guard and naval units in India, Japan and China are augmenting the regional market. Meanwhile, increased procurements for passenger transportation, tourism activities along coastal regions in Europe is propelling the hovercraft industry.

Market Key Trends

One of the key trends in the hovercraft market is the increasing focus on developing autonomous and unmanned vehicles. Companies are investing in R&D to integrate advanced technologies such as AI, sensors, unmanned systems and navigation controls to enable hovercrafts to operate autonomously for applications such as cargo transport, pollution monitoring, disaster management and maritime surveillance. Additionally, several manufacturers are introducing hybrid and electric hovercraft designs with improved fuel efficiency and lower emissions. This is driven by rising environmental sustainability concerns and stringent emission norms for commercial vehicles. Adoption of composite materials is also gaining traction for manufacturing lightweight hovercraft structures with better performance characteristics.

Porter’s Analysis
Threat of new entrants: The high costs of manufacturing hovercraft act as a barrier for new players to enter the market.

Bargaining power of buyers: Buyers have moderate bargaining power as there are few options available for hovercraft.

Bargaining power of suppliers: Suppliers have low bargaining power due to the availability of component suppliers and differentiated products offered by hovercraft manufacturers.

Threat of new substitutes: There is low threat from new substitutes currently as hovercraft offers unique features like ability to travel on land and water.

Competitive rivalry: The global hovercraft market is a fragmented market with the presence of a significant number of players.

Geographical Regions
North America accounts for the largest market share in terms of value driven by the demand from military and state emergency services. Countries like the US and Canada are investing significantly in hovercraft fleets.

The Asia Pacific region is expected to witness the fastest growth over the forecast period due to growing tourism industry in coastal areas and new infrastructure development projects in countries like India, China, Indonesia and Malaysia which offer opportunities for hovercraft usage. Countries are adding hovercraft fleets to enhance transportation connectivity between islands.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it