The global drill pipe market size was US$ 1.3 billion in 2021. The global drill pipe market size is estimated to reach US$ 2.0 billion by 2030, growing at a compound annual growth rate (CAGR) of 5.4% during the forecast period from 2022 to 2030.
A drill pipe is a hollow piping and thick-walled used for the transmission of drilling fluid via the wellbore to the drill extent during rig drilling procedures. They are considered a component of the drill string assembly and are seamless steel pipes. It is made to handle the high external and internal pressures that drilling fluids exert. It is examined, simulated, and tested in compliance with the American Petroleum Institute's (API) standard.
Factors Affecting Market Growth
The growth in exploration and drilling of new oil and gas extraction locations and new advancements in drilling technology and procedures have increased the oil and gas exploration activity thus boosting the global market.
The emphasis on reducing carbon emissions during oil extraction creates the need for new drill pipes. Furthermore, to battle climate change and global warming crises, some oil-producing firms have set a plan of creating net zero carbon emissions throughout operations. This is anticipated to drive the global market.
Fluctuation in the raw material prices is the affecting element that is anticipated to hinder the global market.
Multiple product innovations such as the production of drill pipes that can operate in locations with high temperatures, pressure, permafrost, or with increased concentrations of toxic substances like hydrogen sulfide (H2S), are further boosting the growth of the global market.
Impact Analysis of COVID-19
COVID-19 has adversely impacted the global market as upstream activities were discontinued or temporarily closed due to the reduction in crude oil prices producing a headwind for many upstream players. Furthermore, various companies in the market have stopped manufacturing oil and gas equipment such as drill pipes which have affected the global market. Thus COVID-19 had a negative impact on the global market.
Regional Analysis
North America was the most extensive revenue-generating region in 2021. Growth in assets in the oil and gas industry in the region offers lucrative growth possibilities for global market players. However, Asia-Pacific is anticipated to register a substantial growth rate in the global market during the forecast period, owing to increasing government investment in oil and gas projects in different countries.
Leading Competitors
The prominent players in the global drill pipe market are:
WEATHEROCK GROUP HOLDING LIMITED
TMK Steel Limited
TEXAS STEEL CONVERSION INC.
Tejas Tubular Products Inc.
Tenaris S.A
PetroMaterials Corporation
Oil Country Tubular Ltd
Hilong group of companies
Jindal Saw Ltd. (Drill Pipes International LLC)
NOV Inc.
Others
Segmentation Analysis
The global drill pipe market focuses on Type, Grade, Application, and Region.
Segmentation on the basis of Type
Heavy Weight Drill Pipe (HWDP)
Standard Drill Pipe
Segmentation on the basis of Grade
Premium
API
Segmentation on the basis of Application
Onshore
Offshore
Segmentation on the basis of Region
North America
The U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Eastern Europe
Asia Pacific
China
India
Japan
Australia & New Zealand
ASEAN
Rest of Asia Pacific
Middle East & Africa (MEA)
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America