Oil & Gas Fabrication Market Size, Share, Growth and Global Industry Analysis By Type & Application, Regional Insights and Forecast to 2024-2032

Oil & Gas Fabrication Market Size, Share, Growth and Global Industry Analysis By Type & Application, Regional Insights and Forecast to 2024-2032

Growth Factors of Oil & Gas Fabrication Market

The oil & gas fabrication market size was valued at USD 4.86 billion in 2021, and the market is now projected to grow from USD 5.03 billion in 2022 to USD 6.93 billion by 2029, exhibiting a CAGR of 4.7% during the forecast period of 2022-2029.

The outbreak of COVID-19 and conflicts involving global superpowers such as Russia and Saudi Arabia sent oil prices crashing in March 2020 and the average number of new U.S. rigs reached half of the previous year. The rig count declined as low as 244 by mid-August but has risen to 397 as of February 19, 2021. Customers holding back the pace of their purchases and deferring projects due to market uncertainties affected the industrial participants. Also, delays in permitting and logistical issues have posed a challenge towards new construction of other oil and gas platforms. Lack of stability in this aspect nearly obliterated the oil and gas fabrication market growth throughout 2020.

The increased production and use of oil and gas and the exploration processes have fueled the need for oil and gas fabrication services. Higher investment in ultra-deep and deepwater projects is crucial in increasing the efficiency of both mature and greenfields. Furthermore, the focus on conventional and other types of unconventional hydrocarbon-rich resources is boosting oil and gas fabrication market share. Technological advancement is again opening up some growth perspectives of the oil and gas fabrication industry. In summary, the industry continues to show an increasing trend due to increased spending on services and production processes.

Further, the advancement in information technology is expressing a dramatic shift in the oil and gas market with plasma-cutting machines. These versatile cutting tools contain great and superior reducing capacities that could be complemented by Computer numerate control or CNC software to perform automatic operations. Cutting errors are minimized, and the time taken is less compared to the traditional methods of carrying out the procedures. Automated systems prove to be one of the significant advantages for fabricators, as they allow increasing the speed and accuracy of their work. In general, integrating automation is essential to addressing customer needs and developing the oil and gas industry market.

Comprehensive Analysis of Oil & Gas Fabrication Market

The oil & gas fabrication market and power & energy industry are rising at an exponential rate due to its market segmentation. This market expansion effectively provides a detailed regional assessment considering the dominant supply and demand forces that impact the power & energy industry. These segmentations are methodically segregated by applications. The application includes, Upstream, Midstream and Downstream.

The Asia Pacific region dominates the global oil and gas fabrication market, driven primarily by rising fuel demand. Major consumers, including China, South Korea, Japan, India, and the Philippines, utilize oil and gas products across the supply chain. This widespread consumption significantly contributes to the region's market growth. The increasing reliance on oil and gas fabricated products underscores the sector's importance in supporting energy needs. Consequently, these factors collectively propel the expansion of Asia Pacific's oil and gas fabrication market.

The top players in the market play a crucial role in the healthcare industry assuring industrial prospectus growth and setting market standards. These players include, Newpark Resources Inc. (U.S.), Northern Weldarc Ltd. (Canada), Chantier Davie Canada Inc. (Canada), Lamprell (UAE), DryDocks World (UAE), National Petroleum Construction Company (NPCC) (UAE), Gulf Piping Company (IMCC Group) (UAE), Lefebvre Engineering FZC (UAE), Eversendai (Malaysia) and Larsen & Toubro (India). These market players provide a level-playing competitive landscape.

In April 2022, Chantier Davie received a USD 6.5-million grant from the federal government to work on the Canadian Coast Guard Ship CCGS Louis S. St-Laurent for refit services. The work will be conducted in Quebec City area facilities of the Chantier Davie Canada Inc. subcontractor of Babcock Canada, an engineering service provider company.

Segmentation Table

Global Oil & Gas Fabrication Market Scope

Study Period

2018-2029

Base Year

2021

Forecast Period

2022-2029

Growth Rate

CAGR of 4.7% from 2022 to 2029

Historical Period

2018-2020

Unit

Value (USD Billion)

Segmentation

By Application and Region

By Application

Upstream

Midstream

Downstream

By Region

North America (By Application, By Country)

• U.S.
• Canada

Europe (By Application, By Country)

• U.K.
• Germany
• France
• Italy
• Spain
• Russia
• Rest of Europe

Asia Pacific (By Application, By Country)

• China
• Australia
• India
• Southeast Asia
• Rest of Asia Pacific

Latin America (By Application, By Country)

• Brazil
• Mexico
• Rest of Latin America

Middle East and Africa (By Application, By Country)

• GCC
• South Africa
• Rest of Middle East & Africa

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