Our in-depth analysis has segmented global oil and gas fire protection system market into the following segments:
Global oil and gas fire protection system market is further classified on the basis of region as follows:
Global oil and gas fire protection system market is anticipated to flourish at a CAGR of 6.5% over the forecast period 2017-2024. Additionally, the various factors propelling the growth of oil and gas fire protection system market include growing awareness regarding the installation of fire safety systems and government fire safety regulations.
In terms of regional platform, the most prominent regional markets include North America and Europe. North America region is expected to dominate the market during the forecast period aided by the U.S. Further, increasing research & development activities related to fire protection system is believed to foster the growth of oil and gas fire protection system market in North America region. Furthermore, growing adoption of fire protection system by major oil and gas companies in North America region is projected to flourish the growth of oil and gas fire protection system market in this region by the end of 2024.
Europe region captured the second largest market of oil and gas fire protection system in terms of revenue in 2016. The major countries witnessing the augmented demand for oil and gas fire protection system include U.K., Germany and France. Further, growing concerns to prevent hazardous accidents and increasing innovations in the wireless sensor networks are projected to foster the growth of oil and gas fire protection system market in Europe region.
Asia-Pacific region is expected to witness a tremendous growth by the end of 2024. Additionally, this region is most lucrative market across the globe owing to emerging economies such as India and China. China has been the dominating country in this region owing to presence of numerous oil and gas companies and enhanced human machine interface (HMI) solutions.
Factors such as advancement of fire protection technology, rising fire protection expenditure and technological innovations in networking and equipment are believed to be the dynamic factor behind the rapid growth of oil and gas fire protection system market by the end of 2024. Further, rising adoption of technologically advanced fire protection system to prevent accidents is envisioned to bolster the growth of oil and gas fire protection system market across the globe.
Moreover, growing exploration and production (E&P) activities coupled with the need to prevent fire hazards and rising stringent government rules and regulation for the adoption of fire protection systems by oil and gas industry are projected to flourish the growth of oil and gas fire protection system market. Furthermore, strict fire safety norms have pushed offshore oil and gas operators to increase their investment to improve fire safety arrangements which in turn flourish the growth of oil and gas fire protection system market.
However, high cost of installation is anticipated to hinder the growth of oil and gas fire protection system market.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.