The research group, Freedonia Group, has published a new report predicting that the global demand for oil and gas pipeline materials will grow by 5.3 percent yearly through to 2017.
The report suggests that the increase will be a result from the rising energy needs and the spike in offshore drilling. The more that the production of oil and gas continues to grow, there is a bigger demand for systems that can gather and transport the output. It is estimated that by 2017 the global demand for pipe will reach a total of 51.8 million metric tons, compared to the 40 million metric tons from 2012.
North America is currently the world’s biggest market for pipeline materials. It is estimated that this accounts for 29 percent of all global demand in 2017 and it is growing even further by 4.6 percent every year. Even though North America will continue its growth in the oil and gas extraction sector, its pipelines are quite mature and well developed.
This is why the report foresees Asia as the biggest consumer of pipeline materials in the future.
It is also thought that the fastest growing market will be Central and South America, where the demand is expected to grow 6.1 percent yearly to 3.3 million metric tons in 2017.
It is also thought that the fastest growing market will be Central and South America, where the demand is expected to grow 6.1 percent yearly to 3.3 million metric tons in 2017.