Market Definition
Static equipment is one of the essential components of industries, especially the oil and gas industry. The equipment comprises no moving parts and usually does not have a redundant/standby system. The components primarily include heat exchangers (shell and tubes, plate and frame, air coolers) and pressure vessels (drums, columns, reactors, filters). To assure the safety requirements and commercial competitiveness, the reliability and quality of this equipment are crucial.
Market Insights & Analysis: Global Static Equipment Market (2023-28)
The Global Static Equipment Market is projected to grow at a CAGR of around 2.5% during the forecast period, i.e., 2023-28. The market for equipment has witnessed a swift upsurge since the onset of the industrial revolution as the industrial sector has been backing economic prosperity for ages. As per the World Bank analysis, the manufacturing industry added around 17.01% of value to the global economy in 2021. The steady growth in the number of manufactured products, along with the substantial presence of the industrial sector, has significantly encouraged the need for industrial equipment worldwide.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 2.5% |
| Regions Covered | North America: U.S., Canada |
| South America: Brazil, Argentina | |
| Europe: The U.K, France, Germany, Italy, Norway | |
| Asia-Pacific: China, India, Japan, Australia, South Korea | |
| Middle East & Africa: Saudi Arabia, The UAE, South Africa, Egypt | |
| Key Companies Profiled | Technip, Alfa Laval, Atlas Copco, General Electric, Siemens AG, Metso Oyj, Sulzer Ltd, Pentair Plc, Flowserve Corporation, Wartsila Oyj, OAO TMK, Doosan Group, Mitsubishi Heavy Industries, Others. |
| Unit Denominations | USD Million/Billion |
As such, static industrial equipment such as heat exchangers, boilers, valves, and furnaces have witnessed wide adoption in industrial establishments over the few years. These types of equipment aid industries in achieving and enhancing their operational targets. Since they demonstrate direct co-relation with industries, their growth pattern is likely to imitate those of industries such as oil & gas, power, chemicals, food, beverages, and others.
Moreover, with industries remaining the spine of economically developed countries such as the United States, China, Japan, and others, the market for static equipment is anticipated to fly high in the forecast period. As per the United Nations Statistics Division (UNSD), the value added by the manufacturing industry to the GDP of the United States, Japan, and Germany amounted to USD 2,272 billion, USD 1.033.6 billion, and USD 697.3 billion, respectively. Besides, several governments coming up with favorable industrial regulations again paves the way for more notable investment, which, in turn, stimulates market growth in the coming years.
Market Segmentation
Here, the Oil and Gas industry has rapidly gained traction worldwide in recent years and is projected to acquire a sizeable share of the Global Static Equipment Market during the forecast period. The credit for its growth primarily goes to the technological advancements in exploration and refining equipment that have prompted oil & gas companies to execute in-depth exploration and production activities, and that too under severe climatic conditions. Besides, the unexplored areas with vast reserves of natural gas or crude oil again curate the way for more operating refineries and plants, thereby necessitating the need for these equipment in the oil and gas industry.
Based on Type of Equipment
Of them all, the Heat exchanger has gained maximum popularity and is likely to maintain its dominance in the market during the projected time frame. The popularity can be attributed to the wide adoption of static equipment, particularly heat exchangers, in downstream activities. With that said, the heat exchanger is utilized in the distillation and separation process to regulate the energy input. The most used type of valve is the blow-off valve to control the pressure, the gate valve, the plug valve, and the check valve to monitor the transmission. Generally, water tube boilers, horizontal furnace tubes, and process heaters form the component in refineries.
Regional Projection
Geographically, the Global Static Equipment Market expands across:
Here, Asia-Pacific is envisioned to acquire a leading position in the market during the forecast period. It primarily attributes to vast population, favorable government regulations, and the availability of low-cost labor enticing global players to set up their base across the region. As such global players like Atlas Copco, Siemens AG, Metso Oyj, and Sulzer Ltd have already set their eyes on countries like India, China, Taiwan, etc. For instance,
According to the Department for Promotion of Industry and Internal Trade (DPIIT), the total foreign direct investment (FDI) obtained by India in the financial years 2021-22 amounted to USD 83.57 billion. The FDI received by the drug and pharmaceutical industry amounted to USD 19.41 billion, the automotive industry received USD 32.84 billion, and the chemical manufacturing sector received USD 19.45 billion. Likewise, in September 2022, The Malaysian Investment Development Authority (MIDA) revealed that the government has enticed approved investment worth USD 27.5 billion in its manufacturing, services, and primary sectors in the first half of 2022.
Recent Developments in the Global Static Equipment Market
July 2022 - Alfa Laval, in partnership with a global Swedish steel company SSAB, seeks to develop and commercialize the world’s first heat exchanger based on fossil-free steel. In this regard, the company expects its first hydrogen-reduced steel unit by 2023. The partnership shall bring Alfa Laval one step closer to achieving carbon neutrality by 2030.
March 2022 - AVK Group unveiled a new line of premium 100 gate valves. The valves make a perfect fit for places where longer shelf life is required while ensuring safety and also where the excavation is unattainable. These places might include public and tourist attractions, busy roads, coastal areas, or areas contaminated with oil or gasoline.
Market Dynamics
Key Drivers: Expanding Oil & Gas Refineries and Plant Facilities Worldwide
The rising global burden and migrating population from rural to urban areas have put forth the need for more energy resources in almost every application sector. Since renewable resources are in their crawling stage, the dependency for energy and power generation is still on oil and gas, which is why the procurement of static equipment has become crucial. This is likely to boost the global demand for static equipment to even higher levels during the forecast period.
Possible Restraint: Higher Maintenance Costs and Dependability Events or Failures
Due to the sheer number of equipment parts and quantity of stored fluid, the risks related to fixed equipment are higher than those of other equipment types. In a typical refinery or petrochemical facility, fixed equipment accounts for a sizable share of the capital/maintenance costs and dependability events or failures. A sizable portion of business accidents regarding property damage or injury has also involved static equipment. Further, since fixed equipment does not have complex sensors to monitor for corrosion and deterioration in real time, they require frequent inspection and a reliability plan.
Gain a Competitive Edge with Our Global Static Equipment Market Report
Frequently Asked Questions
A. The Static Equipment Market is projected to grow at a CAGR of around 2.5% during 2023-28.
A. Strong presence of Oil and Gas industry players to call for more static equipment adoption in the coming years.
A. The leading players in the market are Technip, Alfa Laval, Atlas Copco, General Electric, Siemens AG, Metso Oyj, Sulzer Ltd, Pentair Plc, Flowserve Corporation, Wartsila Oyj, OAO TMK, Doosan Group, Mitsubishi Heavy Industries, Others
A. Oil and Gas industry is anticipated to emerge as an area of remunerative opportunities for the leading players in the Static Equipment Market during the forecast period.
A. Asia-Pacific is expected to dominate the market with fastest growth during the forecast period.
A. The higher risks associated with static equipment, alongside elevated maintenance costs and dependability events, are a few factors restraining the market growth during 2023-28.
