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Oil and Gas Industry to Power Industrial Valves and Actuators Market Finds Frost & Sullivan - Political instability in key growth regions threatens to dampen revenue generation - IndustrialAutomation.Frost.com
Oil and Gas Industry to Power Industrial Valves and Actuators Market Finds Frost & Sullivan

 

NewswireToday - /newswire/ - London, United Kingdom, 2013/04/04 - Political instability in key growth regions threatens to dampen revenue generation - IndustrialAutomation.Frost.com.

   
 
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The oil and gas industry is the largest revenue generator for the industrial valves and actuators market, globally. As a result, the exploration of new oil and gas fields, with the corresponding increase in investments in refineries and pipelines in key growth regions, is likely to have a high impact on market prospects. The market will also benefit from the rising demand for automation and infrastructure modernisation.

New analysis from Frost & Sullivan (industrialautomation.frost.com), Strategic Analysis of the Global Industrial Valves and Actuators Market, finds that the market earned revenues of $18.37 billion in 2012 ($17.65 billion in 2011 the base year for the report) and estimates this to reach $ 22.10 billion in 2016.

"Currently, significant oil exploration activity is taking place in Africa, South America, the Middle East and Russia," noted Frost & Sullivan Industrial Automation and Process Control Research Associate Niranjan Paul. "These regions will, therefore, be the focus of industrial valve and actuator manufacturers and provide sustainable growth opportunities."

In the Middle East, Iraq is emerging as a prime market for major oil companies. The country is also projected to spend nearly $27.00 billion on new power generation, distribution and transmission projects between 2012 and 2017. These trends mark out Iraq as a significant market for industrial valves and actuators.

However, political uncertainty in North Africa and the Middle East is affecting the oil and gas industry. This, together with sanctions imposed on Iran and Syria major markets for the oil and gas and power generation industries has the potential to dampen revenues of industrial valve and actuators manufacturers.

In the more developed regions of North America and Europe, environmental legislations are playing an important role in shaping the course of the market. Here, stringent regulations are likely to have an impact across end-user industries.

"In the oil and gas industry, regulations are in place to reduce air pollution by targeting a reduction of smog forming volatile organic compounds (VOC) emissions," explained Paul. "The design of process equipment such as valves and actuators will be instrumental in achieving lowered plant emissions."

Even as major industrial valves and actuators manufacturers look to leverage growth opportunities, their profit margins are being squeezed by high price sensitivity across end-user industries. As a result, companies are being forced to adopt aggressive pricing strategies.

"The market is likely to experience increased demand for custom solutions that suit particular end-user industry applications," concluded Paul. "Market participants need to meet such needs and also address other key customer requirements such as high-quality after-sales service and shorter delivery time."

If you are interested in more information on this research, please send an email to Julia Nikishkina, Corporate Communications, at julia.nikishkina[.]frost.com, with your full name, company name, job title, telephone number, company email address, company website, city, state and country.

Strategic Analysis of the Global Industrial Valves and Actuators Market is part of the Industrial Automation & Process Control Growth Partnership Service programme. Frost & Sullivan’s related research services include: European Control Valves Market, North American Control Valves Market, South East Asia and Australia, New Zealand Industrial Control Valves Market, and The Middle East Industrial Valves and Actuators Market. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan
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Strategic Analysis of the Global Industrial Valves and Actuators Market / M8B8-10

 
 
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Oil and Gas Industry to Power Industrial Valves and Actuators Market Finds Frost & Sullivan

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