Enjoy complimentary customisation on priority with our Enterprise License!
The pipe coating market market size is forecast to increase by USD 2.22 billion, at a CAGR of 5.09% between 2023 and 2028. The growth rate of the market depends on several factors, including the innovation of mobile coating technologies, the growing demand for pipe coating from developing economies, and the shale gas boom in North America. It also includes an in-depth analysis of drivers, trends, and challenges. Our report examines historical data from 2018-2022, besides analyzing the current market scenario.
Pipe coating is a protective coating applied on pipe surfaces to protect pipelines from corrosion, maintain their flow, increase their shelf-life, and ensure clean product delivery. Coatings can be applied to pipes below as well as above the ground level.
To Know more about the market report Request Free Sample
Our researchers analyzed the market research and growth data with 2023 as the base year, along with the key market growth analysis, trends, and challenges. A holistic analysis of drivers, trends, and challenges will help companies refine their marketing strategies to gain a competitive advantage.
Growing demand for pipe coating from developing economies is the key factor driving market growth. Many original equipment manufacturers (OEMs) of pipe coatings are shifting their manufacturing operations to these countries due to the availability of land, inexpensive labor, low transportation costs, and lenient government norms. The increasing income and purchasing power in the developing countries of APAC and South America are prompting higher investment in the packaging and printing industries.
Moreover, the expected GDP growth in developing countries such as India, Russia, China, Brazil, and Indonesia is likely to drive the manufacturing industry in these countries. This is expected to drive the demand for pipe coatings. The pipe coating manufacturing companies have opportunities to capitalize on the growth of emerging markets, which will drive the market during the forecast period.
Biorefineries for transportation of biofuels is the primary trend shaping market growth. The biorefinery refers to a refinery that converts biomass to energy and other beneficial byproducts. In recent years, a conscious effort has been made to consider the consequences of the depletion of fossil fuel sources. New bio-products that not only reduce greenhouse gas (GHG) emissions but also the process and the product should be time- and cost-effective are preferred.
Additionally, biofuels such as biodiesel, ethanol, biogas, and bio alcohol are gaining importance in the market owing to environmental concerns and sustainability. Growing demand for biorefineries is expected to drive the global pipe coating market to transport biofuels and other liquids for increased shelf life and corrosion resistance, thus driving the growth of the market during the forecast period.
Oversupply of crude oil and reduction in demand for new rigs is a challenge that affects market growth. The production of oil and gas from unconventional reserves through horizontal drilling and fracturing in the Americas has increased the supply of crude oil. The oversupply of crude oil has reduced the demand for new rigs. The reduction in demand for new rigs will require fewer pipes for transporting heavy oils and liquids, thereby hampering the market. Further, the possibility of increasing crude oil supplies from Iran, Nigeria, and Libya could add to the oversupplied crude oil market.
Additionally, the oversupply of crude oil has led manufacturers to concentrate on the existing rigs to produce oil. The pipe coating vendors are compelled to shift to alternative applications such as chemicals and water supply to prevent declining profit margins, which curbs the demand for pipe coatings, negatively affecting the growth of the market during the forecast period.
The market share growth by the thermoplastic coatings segment will be significant during the forecast years. Thermoplastics, such as polyvinyl chloride (PVC), polypropylene (PP), and polyethylene (PE), are used for coating pipes in different applications such as mining, drainage, and water treatment. These pipes are lightweight, inexpensive, and more durable than epoxy, polyester, and vinyl ester-based pipes. These types of pipes are predominant in irrigation, construction, mining, sewage, and chemical processing applications.
Get a glance at the market contribution of the End User segment Request Free Sample
The thermoplastic coatings segment accounted for USD 2.98 billion in 2018. Thermoplastic-coated pipes are environment-friendly and can be easily recycled for reuse. Polyethylene thermoplastic coating provides corrosion resistance. These pipes are commonly used for the supply of cold water in external and internal plumbing. Stringent regulations and policies for the pipeline industry in countries such as the US, Germany, Canada, and France are expected to boost the demand for eco-friendly pipes with thermoplastic coating. Therefore, the thermoplastic coatings segment is expected to grow in the market during the forecast period.
The oil and gas segment will account for the largest share of this segment.?The oil and gas industry is a major application segment for pipe coatings with high potential in developing unconventional reserves and exploration and production activities. It is mainly used for the smooth transport of hydrocarbons from one region to another for end-use applications. Pipe coatings help increase the lifespan of the piping system and reduce replacement costs. Furthermore, hydraulic fracturing and horizontal drilling in countries such as the US, Canada, and Mexico are expected to drive the demand for pipe coatings in the oil and gas segment. Therefore, the oil and gas segment is expected to grow and, in turn, drive the growth of the market during the forecast period.
North America is estimated to contribute 43% to the growth of the global market during the projection period.
Technavio's analysts have provided extensive insight into the market forecasting, detailing the regional trends and drivers influencing the market's trajectory throughout the projection period.
For more insights on the market share of various regions Request Free Sample
Techniques such as hydraulic fracturing and horizontal drilling have enabled the US to produce high volumes of oil and gas from unconventional reserves, including shale. The US is producing more than double the volume of oil and gas within a short period through its unconventional shale reserves using technological innovations. Further, the expansion of the natural gas pipeline network in the region helps the producers to rise the capture of associated natural gas from oil wells, which helped increase the total production in 2022 and significantly contributed to US natural gas exports. Thus, such expansions in the pipeline networks and increases in natural gas exports in the region demand pipe coating in order to avoid corrosion. Therefore, such factors drive the growth of the regional market during the forecast period.
Companies are implementing various market growth and forecasting strategies by analyzing factors such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product or service launches, to enhance their presence in the market.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Aegion Corp, Akzo Nobel NV, Arabian Pipe Coating Co., Arkema Group, Axalta Coating Systems Ltd., BASF SE, Celanese Corp., Covestro AG, Dow Chemical Co., Hempel AS, Jotun AS, LyondellBasell Industries N.V., PPG Industries Inc., Tenaris SA, The Sherwin Williams Co., A.W. Chesterton Co., Perma Pipe International Holdings Inc., Wasco Berhad, and LB Foster Co.
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market report predicts market growth by revenue at global, regional & country levels and provides an analysis of the latest market growth and trends opportunities from 2018-2028.
The market is experiencing robust growth, driven by the increasing demand for solutions offering protective properties across various sectors, notably the oil & gas industry and infrastructure industries. Rapid energy demand and substantial infrastructure spending further bolster the market. Technological developments in the sector, particularly in the manufacturing sector, have led to innovative coatings that effectively combat external corrosion and extend the lifespan of pipelines. These developments also address environmental concerns, reducing the use of volatile organic compounds (VOCs) and mitigating Hazardous Air Pollutant Sources (HAPS). The introduction of mobile coating technology has revolutionized operations, enabling on-site application at the project site and minimizing transportation and handling costs.
Additionally, it significantly reduces repair costs by swiftly addressing damages. Further, in challenging environments characterized by harsh terrains and unfavorable weather conditions, such as those encountered in buried transmission pipelines, the demand for thermoplastic polymer coatings has surged. These coatings offer superior durability and resistance to corrosion, ensuring pipeline integrity even in the most demanding conditions. Furthermore, the local availability of technicians and fixed plant facilities further streamlines operations, contributing to timely project completion and enhanced efficiency. Overall, the market continues to evolve, driven by technological innovation and a growing emphasis on sustainability and performance
Pipe Coating Market Scope |
|
Report Coverage |
Details |
Page number |
188 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 5.09% |
Market Growth 2024-2028 |
USD 2.22 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
4.52 |
Regional analysis |
North America, Europe, APAC, Middle East and Africa, and South America |
Performing market contribution |
North America at 43% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
3M Co., Aegion Corp, Akzo Nobel NV, Arabian Pipe Coating Co., Arkema Group, Axalta Coating Systems Ltd., BASF SE, Celanese Corp., Covestro AG, Dow Chemical Co., Hempel AS, Jotun AS, LyondellBasell Industries N.V., PPG Industries Inc., Tenaris SA, The Sherwin Williams Co., A.W. Chesterton Co., Perma Pipe International Holdings Inc., Wasco Berhad, and LB Foster Co. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by Application
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.