Scrubber sales continued to go down for Alfa Laval in the first quarter. After an overall "stable" financial development in the first quarter, the supplier now expects to be impacted negatively by the coronavirus crisis and a slowdown in the global economy.
A new project aims to develop a solution for existing ships using diesel engines to sail on methanol in the future. "We want to find a simple solution for existing engines," says Senior Specialist Kim Winther of the Danish Technological Institute.
Engine manufacturer Alfa Laval wants a leading position in the market for ballast water management systems, which the company estimates will become a major business within just a few years. Alfa Laval has thus spent the past year increasing its personnel.
Shipping companies' demand for scrubbers seems to have peaked. Major supplier Wärtsilä reports a decline in scrubber orders in the first half of the year. Wednesday, supplier Alfa Laval reported a similar trend.
The number of new orders for Alfa Laval's scrubbers declined significantly in the second quarter. Uncertainty regarding prices and fuel availability are factors behind the slump. The Swedish supplier maintains its confidence in the market, however.
The open-loop scrubbers, which are being criticized for emitting sulfur and particles into the water, are the most popular ones among shipowners, the head of Alfa Laval's marine division tells ShippingWatch.
The order intake at Alfa Laval's Marine Division grew by almost 50 percent last year, according to the annual report. However, interest in the company's scrubber systems decreased in the fourth quarter.
Alfa Laval's Marine Division increases its expectations for the market for ballast water management systems by almost 30 percent over the next eight years, says the company at its capital markets day Tuesday.
The Swedish supplier of equipment including ballast water systems has found a new president for its marine division. Current president of marine Peter Leifland will step down at the beginning of next year.
Requirements for sulfur and ballast water have created major growth in Alfa Laval's order books in the third quarter. The demand forecast for the Swedish supplier's whole business will be upgraded, according to CEO Tom Erixon.
Who will reap the benefits and who will be held back by the new sulfur rules that come into force on Jan. 1 2020? Investment bank UBS has reviewed the industry overall and offers its take in a new report.
Major Swedish supplier Alfa Laval grew its marine division order intake in the fourth quarter 2017 due to factors including that more customers ordered scrubbers. But results in 2017 did not live up to the previous year's level.
Swedish supplier Alfa Laval can still feel the effect of carriers hesitating to invest in new ships. However, there is increasing demand for maritime environmental technologies such as ballast water systems, says the company in its second quarter interim report.