Superyacht sales have plummeted in 2023, impacted by lengthy wait times, escalating costs, and the retreat of Russian oligarchs from the market due to sanctions, reveals a recent report from CNBC.
According to the State of Yachting report by SuperYacht Times, sales of new superyachts, defined as those over 100 feet in length, dropped by 17% last year.
Ralph Dazert, head of intelligence at SuperYacht Times, stated that buyers seeking yachts over 200 feet now face waiting times of three to four years, compounded by pandemic-induced backlogs and surging prices.
Rich Russians Are No Longer Buying Superyachts
The downturn in sales particularly affected the largest superyachts, with vessels over 200 meters experiencing a staggering 40% decline. This trend is primarily attributed to the withdrawal of rich Russian buyers from the market following the geopolitical tensions stemming from Russia's invasion of Ukraine in 2022.
While Russian oligarchs step back, American buyers are increasingly contributing to superyacht sales, accounting for nearly a quarter of transactions in 2023.
Despite building comparatively smaller yachts, American purchases are trending towards larger vessels, reflecting a shift in the market.
Notably, while new sales declined, yacht completions surged by 31% in 2023, indicating continued activity in the sector. The expanding fleet of superyachts, now numbering nearly 6,000 according to SuperYacht Times, underscores the growing demand across the yacht economy, from construction and brokerage to marina services and crew employment.
Dazert anticipates a sustained upward trajectory in the yachting economy, driven by a cohort of a new list of buyers introduced to the market during the pandemic.
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