Bunker Fuel Market Share, Trends & Size Analysis 2028

Summary

Report Description

Global bunker fuel market is expected to grow during the forecast period. The demand for cleaner bunker fuels has increased due to the implementation of stricter environmental regulations, an increase in the use of marine vessels for offshore oil and gas and wind farm developments, and the rising marine transportation of essential commodities. These factors have contributed to the growth of the global bunker fuel market over the past ten years.

Bunker fuel, also known as marine fuel or ship fuel, refers to a type of fuel that is primarily used by large ships and vessels. It is a heavy, viscous, and residual fuel oil that is obtained as a byproduct from crude oil refining processes. Bunker fuel is characterized by its high density and high sulfur content. Bunker fuel is typically classified into different grades based on its viscosity, sulfur content, and other properties. The most common grades include IFO (Intermediate Fuel Oil) 180 and IFO 380, which are used in large engines and marine gas oil (MGO) that has a lower sulfur content and is used in smaller ships or in areas with stricter emission regulations.

Rising Number of LNG-Fueled Fleet to Fuel Market Growth

Utilizing LNG as fuel is a tried-and-true solution that can be purchased commercially. LNG has many advantages, particularly for ships given the undeniably rigid contamination regulations.In the medium term, conventional oil-based fuels are anticipated to continue to be the main fuel option for the majority of ships, while LNG is anticipated to become a popular option in the long term. Although there are other methods available to meet air pollution regulations, using LNG as a ship's fuel is a wise choice to satisfy current and upcoming standards for the four primary categories of pollutants (SOx, NOx, PM, and CO2). Compared to alternative options, LNG can be cost-competitive with distillate fuels and does not require the installation of additional process technology.

In 2021, there were 251 LNG-fueled vessels in service and 403 more were either on order or under construction. Additionally, the worldwide fleet will have at least 864 LNG-fueled vessels by 2028. During the projected period, there is expected to be a significant increase in the use of LNG as bunker fuel for ships. This increase can be linked to the expansion of LNG bunkering services and the preference of ship builders for LNG over other fuels. In addition, a lot of ports want to build infrastructure for LNG fueling. Several owners are ordering LNG-ready or dual-fuel boats as the first LNG bunker tankers start to enter service. Passenger ferries, offshore service vessels, coast guard vessels, tankers, and a wide variety of other vessel types make up the fleet of LNG-fueled ships navigating the oceans. As owners, ports, and regulators have come to understand the advantages of this cutting-edge technology, ship builders are now concentrating more on using LNG as ship fuel.

Additionally, governments of several countries are offering grants and other forms of financial assistance to promote LNG-fueled automobiles. For instance, in July 2021, Mundra, India's largest commercial port, announced that Adani Ports and Special Economic Zone, a private Indian company, would provide LNG-fueled ships a 50% reduction on fees. The port gives a 50% reduction on the Adani Ports and SEZ Ltd.-issued Port Dues, Pilotage, and Berth Hire rates, according to the notice to ships. The six-month waiver program was applicable to dual-fuel engines equipped with LNG as their primary fuel. As a result, utilizing LNG to fuel ships has become more popular because it produces substantially less CO2 than traditional shipping fuel. Such developments at the global level are expected to fuel the demand for LNG as a marine fuel during the forecast period.

Increasing Natural Gas Trade Drives Market Growth

Natural gas, also known as LNG, is a cleaner kind of energy than other petroleum products or other fossil fuels, such as coal, and it emits fewer carbon particles. Governments have embraced new CO2 emission reduction targets after the Paris Agreement was signed with the United Nations Framework Convention on Climate Change (UNFCCC) in 2016 and other technologies, such as renewable energy and natural gas-fired power plants, to generate electricity. LNG is primarily traded in the industrial, commercial, and residential divisions of the power industry. China and India are two nations that rely heavily on coal and are progressively transitioning to cleaner energy by importing more natural gas from countries in the Middle East and a few other countries, such as the Russian Federation, Australia, and Nigeria.

China surpassed Japan to become the world's largest importer of LNG in 2021, with imports totaling roughly 79.9 million tonnes (MT). A surge of roughly 15.3% year over year to 46.1 million tonnes made South Korea the third-largest importer of LNG as a result of the nation's switch to natural gas and renewable energy sources from coal and nuclear power. 20 MT and 27 MT of LNG were respectively imported by India and Taiwan in 2021.

The Energy Information Administration (EIA) predicts that the world's natural gas demand will rise from around 141.6 trillion cubic feet (tcf) in 2024 to more than 160 trillion cubic feet (tcf) in 2030. Since China, Japan, South Korea, and India imported the majority of the natural gas through gas carriers in 2021, the projected increase in natural gas consumption is likely to sustain the natural gas trade in these nations. Additionally, nations such as the United States, Russia, and the Middle East are anticipated to increase production capacity of their oil and gas resources in the coming years due to an increase in natural gas consumption as a result of escalating environmental concerns. Therefore, the aforementioned scenario is expected to operate as a catalyst for LNG trading between various nations across the world, which, in turn, will enhance vessel movements. Such factors will encourage the growth of the global bunker fuel market during the forecast period.

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Recent Development

In January 2022, Titan LNG won the bid to supply LNG to Corsica Linea's new Ro-Pax LNG-fueled ferry in the Port of Marseille. Through this partnership, Titan LNG's business will be expanding into the Mediterranean, which will increase the region's access to LNG, bioLNG, and eventually LNG made from hydrogen.
In December 2021, Minerva Bunkering began providing marine fuels at the Red Sea ports of Yanbu and Jeddah in Saudi Arabia. The business is partnered with Aramco Trading and the Saudi Arabian Energy Ministry and is owned by Mercuria Energy Group.
Liquefied natural gas (LNG) bunkering vessels are used to provide LNG to ships powered by LNG, and in March 2022, KEYS Bunkering West Japan awarded a contract to Mitsubishi Shipbuilding, a division of Mitsubishi Heavy Industries (MHI), to build one.
In February 2022, the International Bunker Industry Association (IBIA) and BIMCO started an online survey to determine if mass flow metering (MFM) and bunker licencing systems are required to improve market conditions in the global maritime sector. The overview's objective iswas to figure out how much the oceanic area thought mass stream metering (MFM) frameworks and fortification permitting plans ought to be taken on more generally to further develop economic situations.
In March 2022, TotalEnergies Marine Fuels delivered the first marine bio-VLSFO (very low sulphur fuel oil) bunker at Singapore port's waters. The shipment was a component of the just-completed biofuel study between NYK Line and Anglo American. The delivery, a B10 biofuel mix consisting of VLSFO blended with 10% second-generation, waste-based, and ISCC-certified UCOME (used cooking oil methyl ester), was provided to the MT Friendship via a ship-to-ship transfer. During the ship's round-trip voyage from Singapore to Saldanha Bay in South Africa, biofuel was used.
In August 2021, the Italian classification society RINA received a framework contract from the European Maritime Safety Agency (EMSA) to assist LNG bunkering efforts. The framework agreement, which at the moment covers 22 nations in the region, is anticipated to last for four years.
Through small-scale bunkering and depots, these projects aim to increase the medium-term supply of LNG. The project also intends to lessen environmental effect by promoting the LNG road supply chain and expanding the availability of LNG.
The longest LNG bunkering barge (400+ feet) ever constructed in the United States was begun by Fincantieri Bay Shipbuilding in January 2022. The vessel is being built for Crowley, who will use it for operations on a long-term charter with Shell.

Market Segmentation

The global bunker fuel market is segmented on the basis of type, commercial distributor, application, and region. Based on type, the market is divided into high sulfur fuel oil, low sulfur fuel oil, marine gasoil, and others. Based on commercial distributor, the market is divided into oil majors, large independent, and small independent. Based on application, the market is divided into container, bulk carrier, oil tanker, general cargo, chemical tanker, fishing vessels, gas tankers, and others. Based on region, the market is further bifurcated into North America, Asia-Pacific, Europe, South America, and Middle East & Africa.

Market Players

Major market players in the global bunker fuel market are Exxon Mobil Corporation, Gazprom Neft PJSC, Lukoil Oil Company, Total Energies SE, Chevron Corporation, Gulf Agency Company Ltd (GAC), Bomin Bunker Holding GmbH & Co. KG, Bunker Holding A/S, Fratelli Cosulich S.p.A., and Adani Bunkering Private Limited (part of Adani Group).

Attribute	Details
Base Year	2022
Historic Data	2018 – 2021
Estimated Year	2023
Forecast Period	2024 – 2028
Quantitative Units	Revenue in USD Million and CAGR for 2018-2022 and 2023-2028
Report coverage	Revenue forecast, company share, growth factors, and trends
Segments covered	Type Commercial Distributor Application Region
Regional scope	North America, Asia-Pacific, Europe, South America, Middle East & Africa
Country scope	United States, Canada, Mexico, China, India, Japan, South Korea, Australia, Germany, United Kingdom, France, Spain, Italy, Brazil, Argentina, Colombia, Saudi Arabia, South Africa, UAE
Key Companies P	Exxon Mobil Corporation, Gazprom Neft PJSC, Lukoil Oil Company, Total Energies SE, Chevron Corporation, Gulf Agency Company Ltd (GAC), Bomin Bunker Holding GmbH & Co. KG, Bunker Holding A/S, Fratelli Cosulich S.p.A., Adani Bunkering Private Limited (part of Adani Group)
Customization scope	10% free report customization with purchase. Addition or alteration to country, regional & segment scope.
Pricing and purchase options	Avail customized purchase options to meet your exact research needs. Explore purchase options
Delivery Format	PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request)

Report Scope:

In this report, the global bunker fuel market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

· Bunker Fuel Market, By Type:

o High Sulfur Fuel Oil

o Low Sulfur Fuel Oil

o Marine Gasoil

o Others

· Bunker Fuel Market, By Commercial Distributor:

o Oil Majors

o Large Independent

o Small Independent

· Bunker Fuel Market, By Application:

o Container

o Bulk Carrier

o Oil Tanker

o General Cargo

o Chemical Tanker

o Fishing Vessels

o Gas Tankers

o Others

· Bunker Fuel Market, By Region:

o North America

§ United States

§ Canada

§ Mexico

o Asia-Pacific

§ China

§ India

§ Japan

§ South Korea

§ Australia

o Europe

§ Germany

§ United Kingdom

§ France

§ Spain

§ Italy

o South America

§ Brazil

§ Argentina

§ Colombia

o Middle East

§ Saudi Arabia

§ South Africa

§ UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the global bunker fuel market.

Available Customizations:

With the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

· Detailed analysis and profiling of additional market players (up to five).

The global bunker fuel market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Baseline Methodology

2.2. Key Industry Partners

2.3. Major Association and Secondary Sources

2.4. Forecasting Methodology

2.5. Data Triangulation & Validation

2.6. Assumptions and Limitations

3. Executive Summary

4. Voice of Customers

5. Global Bunker Fuel Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Type (High Sulfur Fuel Oil, Low Sulfur Fuel Oil, Marine Gasoil, and Others)

5.2.2. By Commercial Distributor (Oil Majors, Large Independent, and Small Independent)

5.2.3. By Application (Container, Bulk Carrier, Oil Tanker, General Cargo, Chemical Tanker, Fishing Vessels, Gas Tankers, and Others)

5.2.4. By Region

5.3. By Company (2022)

5.4. Market Map

6. North America Bunker Fuel Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Type

6.2.2. By Commercial Distributor

6.2.3. By Application

6.2.4. By Country

6.3. North America: Country Analysis

6.3.1. United States Bunker Fuel Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Type

6.3.1.2.2. By Commercial Distributor

6.3.1.2.3. By Application

6.3.2. Canada Bunker Fuel Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Type

6.3.2.2.2. By Commercial Distributor

6.3.2.2.3. By Application

6.3.3. Mexico Bunker Fuel Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Type

6.3.3.2.2. By Commercial Distributor

6.3.3.2.3. By Application

7. Asia-Pacific Bunker Fuel Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Type

7.2.2. By Commercial Distributor

7.2.3. By Application

7.2.4. By Country

7.3. Asia-Pacific: Country Analysis

7.3.1. China Bunker Fuel Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Type

7.3.1.2.2. By Commercial Distributor

7.3.1.2.3. By Application

7.3.2. India Bunker Fuel Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Size & Forecast

7.3.2.2.1. By Type

7.3.2.2.2. By Commercial Distributor

7.3.2.2.3. By Application

7.3.3. Japan Bunker Fuel Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Size & Forecast

7.3.3.2.1. By Type

7.3.3.2.2. By Commercial Distributor

7.3.3.2.3. By Application

7.3.4. South Korea Bunker Fuel Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Size & Forecast

7.3.4.2.1. By Type

7.3.4.2.2. By Commercial Distributor

7.3.4.2.3. By Application

7.3.5. Australia Bunker Fuel Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Type

7.3.5.2.2. By Commercial Distributor

7.3.5.2.3. By Application

8. Europe Bunker Fuel Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Type

8.2.2. By Commercial Distributor

8.2.3. By Application

8.2.4. By Country

8.3. Europe: Country Analysis

8.3.1. Germany Bunker Fuel Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Type

8.3.1.2.2. By Commercial Distributor

8.3.1.2.3. By Application

8.3.2. United Kingdom Bunker Fuel Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Type

8.3.2.2.2. By Commercial Distributor

8.3.2.2.3. By Application

8.3.3. France Bunker Fuel Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Type

8.3.3.2.2. By Commercial Distributor

8.3.3.2.3. By Application

8.3.4. Italy Bunker Fuel Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Type

8.3.4.2.2. By Commercial Distributor

8.3.4.2.3. By Application

8.3.5. Spain Bunker Fuel Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Type

8.3.5.2.2. By Commercial Distributor

8.3.5.2.3. By Application

9. South America Bunker Fuel Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Type

9.2.2. By Commercial Distributor

9.2.3. By Application

9.2.4. By Country

9.3. South America: Country Analysis

9.3.1. Brazil Bunker Fuel Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Type

9.3.1.2.2. By Commercial Distributor

9.3.1.2.3. By Application

9.3.2. Argentina Bunker Fuel Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Type

9.3.2.2.2. By Commercial Distributor

9.3.2.2.3. By Application

9.3.3. Colombia Bunker Fuel Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Type

9.3.3.2.2. By Commercial Distributor

9.3.3.2.3. By Application

10. Middle East & Africa Bunker Fuel Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Type

10.2.2. By Commercial Distributor

10.2.3. By Application

10.2.4. By Country

10.3. Middle East & Africa: Country Analysis

10.3.1. Saudi Arabia Bunker Fuel Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Type

10.3.1.2.2. By Commercial Distributor

10.3.1.2.3. By Application

10.3.2. South Africa Bunker Fuel Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Type

10.3.2.2.2. By Commercial Distributor

10.3.2.2.3. By Application

10.3.3. UAE Bunker Fuel Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Type

10.3.3.2.2. By Commercial Distributor

10.3.3.2.3. By Application

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

13. Company Profiles

13.1. Exxon Mobil Corporation

13.1.1. Business Overview

13.1.2. Key Revenue and Financials

13.1.3. Recent Developments

13.1.4. Key Personnel

13.1.5. Key Product/Services

13.2. Gazprom Neft PJSC

13.2.1. Business Overview

13.2.2. Key Revenue and Financials

13.2.3. Recent Developments

13.2.4. Key Personnel

13.2.5. Key Product/Services

13.3. Lukoil Oil Company

13.3.1. Business Overview

13.3.2. Key Revenue and Financials

13.3.3. Recent Developments

13.3.4. Key Personnel

13.3.5. Key Product/Services

13.4. Total Energies SE

13.4.1. Business Overview

13.4.2. Key Revenue and Financials

13.4.3. Recent Developments

13.4.4. Key Personnel

13.4.5. Key Product/Services

13.5. Chevron Corporation

13.5.1. Business Overview

13.5.2. Key Revenue and Financials

13.5.3. Recent Developments

13.5.4. Key Personnel

13.5.5. Key Product/Services

13.6. Gulf Agency Company Ltd (GAC)

13.6.1. Business Overview

13.6.2. Key Revenue and Financials

13.6.3. Recent Developments

13.6.4. Key Personnel

13.6.5. Key Product/Services

13.7. Bomin Bunker Holding GmbH & Co. KG

13.7.1. Business Overview

13.7.2. Key Revenue and Financials

13.7.3. Recent Developments

13.7.4. Key Personnel

13.7.5. Key Product/Services

13.8. Bunker Holding A/S

13.8.1. Business Overview

13.8.2. Key Revenue and Financials

13.8.3. Recent Developments

13.8.4. Key Personnel

13.8.5. Key Product/Services

13.9. Fratelli Cosulich S.p.A.

13.9.1. Business Overview

13.9.2. Key Revenue and Financials

13.9.3. Recent Developments

13.9.4. Key Personnel

13.9.5. Key Product/Services

13.10.Adani Bunkering Private Limited (part of Adani Group)

13.10.1. Business Overview

13.10.2. Key Revenue and Financials

13.10.3. Recent Developments

13.10.4. Key Personnel

13.10.5. Key Product/Services

14. Strategic Recommendations

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Figures and Tables

Frequently asked questions

Which is the dominating region in the global bunker fuel market?

Asia Pacific dominated the global bunker fuel market in 2022, and it is expected to continue during the forecast period due to the immense maritime trade potential of countries such as India, China, Singapore, and Japan.

Who are the major market market players in the global bunker fuel market?

Exxon Mobil Corporation, Gazprom Neft PJSC, Lukoil Oil Company, Total Energies SE, Chevron Corporation, Gulf Agency Company Ltd (GAC), Bomin Bunker Holding GmbH & Co. KG, Bunker Holding A/S, Fratelli Cosulich S.p.A., Adani Bunkering Private Limited (part of Adani Group) are the major market market players in the global bunker fuel market.

What are the main drivers of the global bunker fuel market?

The main drivers of the global bunker fuel market are increasing natural gas trade and rising number of lng-fueled fleet.

What are the main challenges of the global bunker fuel market?

The main challenges of the global bunker fuel market are environmental concerns and strict regulations on the usage of bunker fuel.

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Press Release

Bunker Fuel Market is expected to grow at an impressive CAGR

Aug, 2023

The global bunker fuel market is expected to grow due to the rising number of LNG-fueled fleet and increasing natural gas trade during the forecast period.

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