The prevalence of ship propulsion failure remains a significant concern at sea, posing a recurring risk to maritime safety. As a ship's ability to manoeuvre heavily relies on its propulsive power generated by a rotating propeller, any loss in propulsion can lead to potential hazards such as collisions, contacts, or groundings, particularly in a real seaway. Therefore, accurately assessing the manoeuvring capabilities of ships experiencing propulsion failure is crucial for ensuring navigation safety. This paper aims to examine the impacts of sudden propulsion loss on the manoeuvring capability of the KCS (KRISO Container Ship) model under different wave heights, utilizing URANS (Unsteady Reynolds-Averaged Navier-Stokes) simulations. Through a series of case studies comparing ship performances under normal conditions versus propulsion loss scenarios, particularly during turning circle manoeuvres in different wave height conditions, the study sheds light on the significant impact of propulsion failure on ship manoeuvrability. When examining the ship's turning performance under identical wave heights, it became evident that the ship's advance increased in instances of propulsion loss compared to normal operational conditions. Specifically, at a wave height of 2.4 m, the ship's advance increased by 23% during propulsion failure. Similarly, at wave heights of 3.6 m, 4.8 m, and 6.0 m, the increases were 19%, 17%, and 12%, respectively. In calm water, there was a 24% increase in advance. Notably, at a wave height of 7.2 m, the ship failed to complete a 90° turn, making it impossible to determine the ship's advance under these conditions. The findings underscore the critical importance of sufficient propulsion power for safe vessel operation. This research not only provides valuable insights for navigators into ship manoeuvring under propulsion failure but also contributes to the development of contingency measures, especially pertinent for autonomous vehicles encountering similar propulsion challenges.