The global oilfield equipment market size is expected to reach US$127.6 billion by 2020, according to a new report by Grand View Research Inc. Continuous technological advancements in tools for better performance, improved recovery rate, and higher production is expected to drive the global industry demand over the forecast period.
Advancements in drilling techniques such as drilling equipment accounted for a share of 73.65% of the overall market revenue in 2013. The product segment is expected to grow at a CAGR of 4.2% from 2014 to 2020. Onshore operations majorly involve use of enhanced machines and huge number of tools for better results. Others include tools and machines which are used before transportation activities. The segment is expected to grow at a significant CAGR of 3.9% from 2014 to 2020.
Further key findings from the report suggest that:
- North America was the leading regional market covering a market revenue share of 39.49% in 2013. High drilling activities to meet energy demand coupled with shale gas development was the major reason for its dominance. The market is expected to experience slow growth over the forecast period.
- Field production machinery accounted for 16.82% of overall market revenue share in 2013. The market is expected to witness slow growth over the next six years. Pumps and valves are expected to grow at a significant CAGR of 3.8% from 2014 to 2020 owing to increasing number of pipelines globally.
- Asia Pacific covered a market revenue share of 19.70% in 2013 and is expected to grow at the highest CAGR of 4.5% from 2014 to 2020. China is expected to contribute maximum toward regional industry growth in future. Other countries including India, Thailand, and Indonesia are also expected to witness high market growth over the forecast period.
- Global market is highly fragmented in nature. Major companies are Schlumberger, Baker Hughes, National Oilwell Varco, Weatherford International, Halliburton, Cameron International, Aker Solutions, and Transocean. Technological breakthroughs in the industry are expected to raise profits and market share over the forecast period. Small industry participants find it difficult to survive in the overall market on account of its high risk and high capital nature.
Grand View Research Inc. is a US-based market research and consulting company that provides syndicated research reports, customized research reports, and consulting services. The company offers market intelligence studies across a range of industries including technology, chemicals, materials, healthcare, and energy.