Actuators and valves market to expand, report
MRO MagazineIndustry Machinery and Equipment Maintenance Manufacturing Manufacturing
Albany, NY – The opportunity in the global actuators and valves market stood at US$74.37 billion in 2015 and is anticipated to be worth US$124.30 billion by 2024. If these values hold true, the market is projected to expand at a 6.0% CAGR during the forecast period.
The global actuators and valves market is immensely fragmented with the 10 leading players accounting for a mere 20% of the global market in 2015. Transparency Market Research has observed a high degree of competition in the market owing to the presence of a large number of players. This can be attributed to the fact that most leading companies have been engaged in acquiring smaller vendors in order to gain market share. For instance, in 2015, Schlumberger Limited acquired Cameron International Corporation in order to expand its product offerings.
While the threat of substitutes in the actuators and valves market is nil, the threat of new entrants is also rather limited. “High entry barriers such as increased capital investments curbs the threat of new players,” the author of the study states.
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Valves Emerge as Clear Leader in Actuators and Valves Market by Type
By type, the actuators and valves market is led by valves and the segment accounted for a massive share of just under 75% in 2016. On the other hand, the actuators segment is expected to contribute the leading CAGR of 5.89% during the forecast period. While ball valves dominate the overall valves segment, pneumatic actuators hold the leading share in the actuators segment. Based on end-use industry, water and wastewater treatment held the dominant share in 2016.
On the basis of geography, Asia Pacific held the leading share of just under 40% in 2016, followed by North America. The APAC market for actuators and valves is projected to register a 6.9% CAGR during the forecast period, emerging as one of the most attractive regional segments by 2024.
Shortcomings of Actuators Act as Deterrents to Global Growth
Rapid urbanization in the emerging markets of Asia Pacific, Latin America, and the Middle East and Africa, and the rise in urban areas in the developed economies of North America and Europe are the most prominent factors driving the demand for actuators and valves globally.
“The rise in urbanization has created the demand for the development of private and public sector infrastructure,” states the lead analyst. “The setting up of water supply facilities, power stations, water treatment plants, and electricity grids, therefore requires a steady supply of actuators and valves and this has driven the global market.”
In addition to this, the growing investment in the oil and gas sector and the increased demand for technologically advanced valves continue to support the growth of the actuators and valves market worldwide. On the other hand, the high cost and complexity of electric actuators and the low-energy efficiency of pneumatic actuators hold the global market back.
Source: Transparency Market Research