Wärtsilä's markets

Wärtsilä's markets

• Energy Solutions markets

  Wärtsilä Energy Solutions main customer segments are:

  • Flexible baseload
  • Grid stability and peaking
  • Industrial self-generation
  • Oil and gas industry
  
  

  Strong growth in world economy boosts the need for electricity. High oil prices and tightening environmental norms favour high-efficiency products and works in favour of Wärtsilä’s products. Electricity consumption growth rates are fairly high in the developing world and drives demand for both Wärtsilä’s heavy fuel oil and gas power plants. In the industrialized world Wärtsilä’s demand is mainly driven by the need for stable, reliable and flexible energy that Wärtsilä power plants provide.
  
  Demand is spread evenly around the world, which reduces risks associated with geographical concentrations and single markets.

• Marine Solutions markets

  Wärtsilä Marine Solutions's main customer segments are:

  • Merchant - Includes all vessels for seaborne transportation, such as:
    • Container vessels
    • Tankers
    • Bulk Carriers
    • LNG Carriers
    • RoRo
    • Other cargo vessel

  
  

  • Offshore - Includes vessels and platforms used in oil and gas exploration as well as their supporting activities:    
    • Drilling rigs and ships
    • Anchor handling vessels
    • Offshore research vessels
    • Floating production units
    • Platform supply vessels

  
  

  • Cruise & Ferry - Includes:
    • Cruise vessels
    • Passanger ferries
    • Passanger/Cargo ferries
    • Fast ferries
    •  Yachts

  • Navy - Includes various kinds of naval vessels and submarines

  
  

  • Special vessels - Includes a broad range of different vessels, the main categories being:
    • Demand in the shipbuilding and shipping industry is driven by the world economy, trade and needed transport capacity. The main market driver for Wärtsilä Marine Solution is the global demand for new vessels that are based on seaborne transportation, offshore oil exploration and support, cruise and ferry demand, as well as naval contracting. The demand for new vessels is also affected by shipyard capacity, ship prices, scrapping, oil prices, interest rates, freight rates and environmental aspects.
      
      The need for energy has increased in recent years, which has increased the price of oil, intensifying the exploration and development of new oil and gas reserves. Demand has also been very buoyant during the past few years for offshore vessels and LNG carriers, areas of particular strengths for Wärtsilä
      
      Geographically, the hub of shipbuilding industry today is in Asia, headed by Korea and China. European shipyards concentrate on special vessels, passenger and cruise ships.

• Services markets

  Wärtsilä’s Services business covers both the Marine Solutions and Energy Solutions businesses in their entirety.
  
  The main market driver for the Services business is lifecycle efficiency, for which the availability, reliability and economic viability of the equipment are very important. The marine service business is strongly driven by existing as well as new environmental regulations. Other drivers are the need to lower operating costs, the need for enhanced safety, and the need to outsource the operations and management of power plants.