Italian shipbuilding: what strategies to tackle the challenges of the future?

These are some of the questions addressed in the new brief from the Sector Strategy and Impact Department, which analyses the state and prospects of shipbuilding, a high-tech sector recognised as an Italian excellence on the international scene. This analysis is part of a rapidly changing global context marked by profound changes in demand, new environmental regulations and increasingly fierce international competition.

Read the study’s key messages and download the document for all the details.

The Italian shipbuilding industry is an extensive and multifaceted supply chain, ranging from design to construction, from maintenance to conversion and demolition of a wide range of vessels: from cruise ships to ferries, from oil tankers to container ships and military and offshore vessels. In this scenario, Italy occupies a top position worldwide in the construction of cruise ships, a segment in which it is recognised as a global leader.

A dominance that is based on a solid production structure consisting of more than 14,000 companies and about 180,000 employees capable of generating significant economic value along the entire chain. Each million euros invested in the construction of a ship produces about 2.7 million euros in total value.

The success of the segment is based on a combination of strategic assets:

• The high quality of the workforce and technical specialisation.
• A flexible and technologically advanced network of construction sites.
• An integrated supply chain involving large industrial groups and a fabric of highly qualified SMEs.
• A pronounced vocation for exports: in 2023, the value of exports exceeded 9.1 billion euros, placing Italy at the top of Europe, ahead of Germany, the Netherlands and France.

These strengths are complemented by a rapidly expanding market. Global demand for cruises is growing steadily: the sector's turnover will exceed 40 billion euros in 2025, with an annual growth rate of 5%. Passenger flows have already surpassed pre-pandemic levels (+17% compared to 2019), and are estimated to reach 40 million by 2027.

Despite the predominance of large Asian shipyards, Italy retains a 36% share of global cruise ship production. The order backlog is also solid:

• 67 new units are planned by 2035.
• 56% will be built in Italy.
• Fincantieri will build 37 ships with a total value of almost 33 billion dollars.

The sector is now dealing with transformations that are redefining operational models and strategic priorities. There are three main lines of development:

• Sustainability: the International Convention for the Safe and Environmentally Sound Recycling of Ships is coming into force, and there is a growing focus on reducing emissions and the environmental efficiency of vessels in operation.
• Innovation: more than 55% of new ships will be powered by liquefied natural gas (LNG), and investments in alternative technologies such as hydrogen and ammonia are increasing to support the energy transition.
• Evolving demand: the experiential luxury segment is expanding, with annual growth of 5%, and the demand for customised solutions and increasingly high quality standards is driving the sector towards a tailor-made offer.

Looking ahead, the competitiveness of the Italian shipbuilding industry will depend on its ability to strengthen its industrial leadership by responding to environmental challenges and seizing the opportunities offered by innovation. Manufacturing tradition, engineering excellence and the ability to evolve remain the hallmarks of a sector destined to be confirmed as one of the most strategic for the growth and industrial reputation of Italy.