Chemical Injection Skids Market to Experience Robust Growth at a CAGR of 3.2% during 2022-2032, According to Report

The chemical injection skids market is set to grow due to increasing environmental regulations. Governments and regulatory bodies are putting more pressure on industrial plants to manage and reduce their environmental footprint, leading to a rise in demand for chemical injection skids.

New York, April 24, 2023 (GLOBE NEWSWIRE) — predicts that the Chemical Injection Skids Market will achieve a registered CAGR of 3.2% from 2023 to 2032, resulting in a projected market size of over USD 3.07 billion by 2032, up from USD 2.26 billion in 2022

The chemical injection skids market is made of companies that manufacture and supply these skids for various industrial applications, primarily the oil and gas sector, but also power generation, water treatment, and chemical manufacturing. Growing demand in these other sectors like power generation and water treatment for various tasks such as water treatment, wastewater management, and cooling tower treatment; chemical injection skids will continue to play an increasingly important role.
chemical injection skids market

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Key Takeaway:

  • By function, the corrosion inhibition segment dominates the market because of its property to be used for protecting metals from corrosion.
  • From end-user industries, the oil and gas sector is with higher share, because of this chemical injection usage in scale inhibition, corrosion inhibition, and demulsification.
  • North America holds the largest market share of 31% in the year 2022.
  • APAC is expected to grow at a high rate owing to growing industrialization, increasing oil and gas exploration activities, advancements in technology, etc.

Factors affecting the growth of the Chemical Injection Skids industry

There is a number of factors that have an impact on the growth of the chemical injection skids industry. Some of them are as follows:

  • Oil and Gas Industry Trends: The chemical injection skids industry is closely connected to the oil and gas sector, as these skids are primarily utilized there. Therefore, any changes in demand for oil, exploration activities, production trends, or prices, can drastically impact growth within this sector.
  • Environmental Regulations: Growing emphasis on environmental protection and sustainability, regulatory bodies around the world are imposing stringent guidelines for industrial activities.  This will results in demand for chemical injection skids as demand increases the growth of the market happens.
  • Technological Advancements: The chemical injection skids industry is also affected by technological developments. New and more sophisticated skids that incorporate automation, remote monitoring, and other features are becoming more commonplace as companies strive to enhance operational efficiency and reduce costs.
  • Infrastructure Development: Chemical injection skids are employed in several industries, such as water treatment, chemical manufacturing, and power generation.  Therefore, the expansion of these sectors and the creation of new infrastructure results in the growth of the chemical injection skids industry.
  • Economic Conditions: The growth of the chemical injection skids industry is also determined by economic conditions. Downturns and recessions can significantly reduce industrial activities, this will ultimately impact the growth of the industry.

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Market Growth

The oil and gas sector is the chief end-user of chemical injection skids, and its expansion is anticipated to further fuel demand for these items. Demand for oil and gas, exploration, and production activities is expected to expand, requiring a greater need for chemical injection skids to address production-related problems such as corrosion, scaling, and hydrate formation. Environmental regulations are expected to continue driving growth in the chemical injection skids industry. Governments and regulatory organizations are becoming more stringent with their demands for industrial facilities to manage and mitigate environmental impacts, creating demand for chemical injection skids that can help meet these obligations.

Regional Analysis

North America is the leading region in the global chemical skids market, accounting for 31% share. Driven by rising energy demand and expansions in oil & gas operations, analysts anticipate that this region’s chemical injection skids market will expand steadily over the coming years. The two countries contributing the most to this industry are the United States and Canada. Due to a developed oil and gas sector, it is anticipated that the European chemical injection skids market will expand at an average pace. The top exporters to this region are Germany, France, Italy, and the United Kingdom. Due to rising energy demand and the expansion of oil and gas industries in nations such as China, India, and Indonesia, analysts predict substantial growth for the Asia-Pacific chemical injection skids market over the coming years.

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Scope of the Report

Report Attribute Details
Market Value (2022) USD 2.26 billion
Market Size (2032) USD 3.07 billion
CAGR (from 2023 to 2032) 3.2%
North America Revenue Share 31.0%
Historic Period 2016 to 2022
Base Year 2022
Forecast Year 2023 to 2032

Market Drivers

  • Growing Demand from the Oil and Gas Industry: Chemical injector skids are widely used in the oil and gas industry. Global demand for chemical injection skids is increasing at the same time as global demand for energy and gas.
  • Environment Regulations: The emphasis that global government authorities are putting on safety and environmental regulations is forcing them to impose tighter controls on the use of chemicals in industrial processes. Chemical injection skids provide a safer, more environmentally friendly way to inject chemicals, satisfying regulation requirements.
  • Automation: Automation required is becoming more essential in the oil and gas sector as it offers accurate and effective control over chemical dosage. Chemical injection skids are crucial for automating the process and increasing business effectiveness.

Market Restraints

  • High initial cost: The cost to set up a chemical injection skid can be high, which may prevent some companies from buying these systems.
  • Unstable Prices: Price instability in the oil and gas industry could have an effect on the market for chemical injection skids. During periods of low oil and gas costs, businesses may scale back their investments, including the purchase of chemical injection skids.

Market Opportunities

An important market opportunity for chemical injection skids is the growing demand for skids that can be specifically tailored to suit the needs of end users. Manufacturers can capitalize on this demand by creating adaptable, cutting-edge skids that can handle various chemicals and function in a variety of working environments. Additionally, manufacturers may create smart chemical injection skids that can watch and control the injection process remotely, removing the need for manual intervention while boosting operational efficiency, as automation and IoT technologies are increasingly being adopted by oil and gas operations.

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Report Segmentation of the Chemical Injection Skids Market

Function Insight

With a market share of 28.6%, corrosion inhibition is leading the market in the industry. To prevent rust on metal surfaces, corrosion inhibitors can be injected into a process stream using chemical injection skids. Equipment and pipelines can sustain substantial harm from corrosion, necessitating expensive repairs and downtime. Antifoaming agents are also injected into the flow stream by chemical injection skids to stop foam formation, a problem that is prevalent in the oil and gas industries because foam formation decreases efficiency during oil production and processing. Chemical injection skids help keep system efficiency while also lowering costs by preventing foam formation. Demulsifiers can be injected into a production stream using chemical injection skids to break down emulsions.

End-user Insight

Oil & gas, energy & power, fertilizer, petrochemical, chemical, water treatment, pharmaceutical, and other end-use sectors are the market segments for chemical injection skids. With a 22% market share, the oil and gas segment dominates the industry. In the oil and gas industry, chemical injection skids are frequently used for a variety of purposes, including demulsification, scale inhibition, and corrosion inhibition. They support keeping manufacturing processes’ quality and productivity levels at a high level. Petrochemical facilities use chemical injection skids for things like antifoaming and corrosion inhibition. They are responsible for ensuring the effectiveness and caliber of chemical processing activities. In water purification facilities, chemical injection skids are frequently used for pH balancing and disinfection.

Recent Development of the Chemical Injection Skids Market

  • In 2021: Lewa GmbH partnered with the Spanish engineering and construction company Sener to develop and supply chemical injection packages for a major oil and gas project in Mexico.
  • In 2021: SPX FLOW Inc. launched a new range of chemical injection skids, the C Series, which are designed for high-pressure applications in the oil and gas industry. Listed below are some of the most prominent chemical injection skids industry players.

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Market Segmentation

Based on Function

  • Antifoaming
  • Corrosion Inhibition
  • Demulsifying
  • Scale Inhibition
  • Others

Based on End-user

  • Oil & Gas
  • Energy & Power
  • Fertilizer
  • Petrochemical
  • Chemical
  • Water Treatment
  • Pharmaceutical
  • Other End-Use Industries

Based on the End User

  • Hospital and Clinics
  • Diagnostic Laboratories
  • Diagnostic Imaging Centres
  • Research Institutes

By Geography

  • North America
    • The US
    • Canada
    • Mexico
  • Western Europe
    • Germany
    • France
    • The UK
    • Spain
    • Italy
    • Portugal
    • Ireland
    • Austria
    • Switzerland
    • Benelux
    • Nordic
    • Rest of Western Europe
  • Eastern Europe
    • Russia
    • Poland
    • The Czech Republic
    • Greece
    • Rest of Eastern Europe
  • APAC
    • China
    • Japan
    • South Korea
    • India
    • Australia & New Zealand
    • Indonesia
    • Malaysia
    • Philippines
    • Singapore
    • Thailand
    • Vietnam
    • Rest of APAC
  • Latin America
    • Brazil
    • Colombia
    • Chile
    • Argentina
    • Costa Rica
    • Rest of Latin America
  • Middle East & Africa
    • Algeria
    • Egypt
    • Israel
    • Kuwait
    • Nigeria
    • Saudi Arabia
    • South Africa
    • Turkey
    • United Arab Emirates
    • Rest of MEA

Competitive Landscape

There is a number of companies present in the market which will try to provide better services to their customers and try to increase their market share. They are engaged in research and development to find out innovative ways to remain in the market for a long period.

Some of the major players include:

  • Milton Roy Company
  • AES Arabia Ltd
  • Petronash
  • Lewa GmbH
  • SPX FLOW Inc
  • Integrated Flow Solutions LLC
  • Petroserve International
  • Carotek Inc
  • IDEX Corporation
  • Proserv UK Ltd
  • SEKO SpA
  • Other Key Players

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