Vacuum Insulated Tubing Market Size, Share, Growth by 2030

In 2022, the global vacuum insulated tubing market was valued at approximately US$ 35.71 million, with projections indicating a growth rate of 7.3% CAGR during the forecast period, aiming to reach US$ 61.38 million by 2030.

Manufacturers of vacuum insulated tubing play a crucial role in this market. Notable companies in this sector include Andmir Group, Exceed Oilfield Equipment Inc, Imex Canada Inc, ITP Interpipe, Lake Petro, Dongying Lake Petroleum Technology CO Ltd, Nakasawa, Shengji Group, Tenergy Equipment & Service Ltd, TMK Group, and Vallourec. The primary consumers of vacuum insulated tubing are oil production firms such as ExxonMobil Corporation, Shell plc, Saudi Aramco, China Petroleum & Chemical Corporation, Chevron Corporation, BP plc, among others.

Geographically, the North American vacuum insulated tubing market is divided into the US, Canada, and Mexico. This region is recognized as a leading oil-producing area worldwide. The US and Canada are significant contributors to oil production, boasting substantial reserves and employing advanced extraction methods like hydraulic fracturing (fracking) and horizontal drilling. According to a report from the Energy Information Administration (EIA), around 100 countries globally engage in crude oil production, with the top five nations accounting for 51% of total output in 2021. The US and Canada alone contributed 14.5% and 5.8% of the global crude oil production, respectively.

Factors such as low-cost assets, decreased production expenses, and enhanced oil-well efficiencies are driving the growth of the oil and gas sector in North America. Consequently, companies involved in vacuum insulated tubing within the oil and gas industry are making significant investments to expand their market presence. This trend of increasing investment in the oil and gas sector is anticipated to create growth opportunities for the vacuum insulated tubing market in the years ahead.

Effects of the COVID-19 Pandemic on the Vacuum Insulated Tubing Market

The COVID-19 pandemic had a detrimental impact on the global oil and gas industry, primarily due to supply chain disruptions and stringent international trade regulations imposed by various countries to mitigate the spread of the virus. Additionally, oil and gas prices surged during the pandemic as global demand plummeted.

The pandemic hindered the sourcing of materials and the operations of raw material suppliers. These suppliers encountered numerous challenges, including remote working conditions, transportation issues, and significant interruptions in production due to workforce shortages and resource limitations. As a result, a gap emerged between the supply of raw materials and the demand from vacuum insulated tubing manufacturers worldwide in 2020. However, by the second quarter of 2020, the market began to show signs of recovery from these supply chain disruptions as manufacturers adapted to the new operational realities in the vacuum insulated tubing sector.

In the Middle East and Africa (MEA), countries such as the UAE, Saudi Arabia, Iran, Oman, and Kuwait were significantly impacted by the COVID-19 pandemic. Economic activities in these regions were largely halted due to rising COVID-19 cases during the first half of 2020. Many African nations were still in the developmental stage, while Middle Eastern countries, particularly those in the Gulf Cooperation Council (GCC), experienced a marked decline in the oil and gas industry due to a sharp decrease in oil demand from major consumer nations in Asia, Europe, and North America. Consequently, oil and gas production in the MEA region fell to low levels in 2020, adversely affecting the growth of the vacuum insulated tubing market. As COVID-19 restrictions have been lifted, the vacuum insulated tubing market has started to recover from the setbacks experienced during the pandemic.

Key players in the vacuum insulated tubing market include Andmir Group, Exceed Oilfield Equipment Inc, Imex Canada Inc, ITP Interpipe, Lake Petro, Dongying Lake Petroleum Technology CO Ltd, Nakasawa, Shengji Group, Tenergy Equipment & Service Ltd, TMK Group, and Vallourec.