World Pipe & Fittings Market Set To Be Worth $152bn By 2017

Research conducted by Global Industry Analysts (GIA) suggests that whilst the current economic climate has affected the pipes market, the segment should recover in 2013 as the crushing recession in the Eurozone starts to ease.
Furthermore, the increased growth of the market will be driven in particular by the surge in demand for malleable pipe fittings  from companies based in the oil and gas, construction, mechanical and automotive engineering, agriculture and irrigation industries, GIA stated.
In the long term, the demand will be further boosted by growing economies who will need stainless steel pipe fittings to help assist them to increase urbanisation and help to develop their economies.
The GIA further indicated that the pipe and fittings market contracted back in 2008 and 2009 due to the global recession and decreases in infrastructure spending.
Despite the contractions in the market, the market redoubled in 2010 as countries increased their capital spending.
With the market set to be worth $152 billion in the next five years, increased demand will be seen particularly in the water and sanitation industry.
“A combination of greater government emphasis on irrigation, strong private sector participation in water supply projects, and improved multi-lateral lending for water-related sectors presents huge potential in this segment,” the GIA study stated.
Moreover, increases in world energy requirements will help increase demand for pipes, which will lead to the establishment of new oil and gas infrastructure.
In the construction and automotive industry, it is predicted that high-grade pipes will be demanded by companies for the safe operation of machines and vehicles.
The report further stated that of all global markets, Europe is the largest market for pipe and fittings in terms of demand.
Despite Europe being the best market, Asia-Pacific and the Middle East, both developing economies will be vital in helping to drive demand for the industry.
The report further added: “Underlying pipe demand from emerging markets will be fuelled by spending on infrastructure projects such as sewage treatment, water distribution/supply and electrification.”