The global compressor control system market is set to expand at a CAGR of 6.31% to reach US$7345.629 million by 2027, increasing from US$4787.943 million in 2020. Compressor control systems have a wide range of applications in power generation, chemical, mining, and refining industries. The major factors propelling the growth of the compressor control systems market can be attributed to the improvement in product quality specifications for critical industrial processes and large-scale applications across different industries. Moreover, compressors operating at a very high compression rate and rapidly changing flow rates and pressures require specialized control techniques that enable them to maintain process stability. The main impediments are high initial costs, frequent maintenance of compressor control systems, and a volatile oil and gas industry, which could stymie investments and limit the market growth.
Investment in the oil and gas industry is expected to drive the growth of the market.
By application, the oil and gas industry is expected to hold a significant market share in 2018 and is anticipated to grow steadily in the coming years. Factors like rapid industrialization and urbanization are driving the demand for oil and gas while propelling the industry’s growth, which is indicated by the fact that the fuel consumption of the global economy has increased steadily since 2014.
In fact, the consumption of primary energy increased from 11,705.1 million tons of oil equivalent in 2008 to 13,864.9 million tons of oil equivalent in 2018 (source: BP Statistical Review of World Energy 2019). Moreover, increasing the adoption of compressor control systems in this industry for various core activities will boost the segment’s growth over the forecast period. Simultaneously, efforts are being made by the manufacturers to improve the technology of the compressor systems that deliver optimal performance while consuming relatively lower energy. For instance, Atlas Copco launched a new version of its XAVS 238 and XATS 288 portable compressors with a 27% smaller footprint. The new versions feature pressure adjusted through cognitive electronics (PACE) pressure control systems that have the capability of extending the spectrum of a single compressor from 7 up to 14 bar.
However, small-scale research and expenditure on development, along with stringent environmental specifications are projected to obstruct growth in the market. Additionally, volatility in the prices of oil and natural gas is also projected to constrain the compressor control system market in the forecast period.
Asia Pacific to provide high growth opportunities.
Geographically, the North American region accounted for a significant market share of the global compressor control systems market in 2020. The government of the United States is significantly increasing investment to boost its status as an oil exporter. Specifically, the government is focusing on improving the infrastructure that will allow the transportation of oil from the United States to the world market. Similarly, factors like expanding mining activities, mounting concern over water consumption, and initiatives being taken toward wastewater management are some of the factors significantly contributing to market growth. However, the Asia Pacific region is expected to grow at a fast rate on account of rapid industrialization, which in turn, will boost the demand for these systems across various industries over the next five years. Moreover, the Chinses government has taken an initiative to increase the 2019 capital investment in oil exploration by 20%, with the primary goal to increase the production of oil by 50%, up to more than two million barrels a day over the next five years. In fact, China’s Sinopec Corporation is expected to set up a US$5.7 billion refining and petrochemical complex in the south of the country by the end of the second quarter of 2020. Similarly, the government of India is planning to more than treble the area under exploration to 700,000 sq. km in five years from 200,000 sq. km to revamp and stimulate the country’s declining oil output.
Development in the market like product launches, partnerships, and collaborations are expected to propel growth for the market in the forecast period.
The COVID-19 pandemic had a negative effect on the compressor control system market due to the strict lockdowns that followed, along with the stringent social distancing norms in order to contain the spread of the virus. The economic slowdown, temporary shutdown of the businesses and production facilities, and declining consumer confidence deeply impacted the demand for these compressor control systems. The supply chain got disrupted during the initial stages of the coronavirus outbreak, along with delays in logistics activities. However, the compressor control system market is projected to slowly regain its growing pace during the post-pandemic period due to the ease in the restrictions and resume of industry functioning.
|Market Size Value in 2020||US$4787.943 million|
|Market Size Value in 2027||US$7345.629 million|
|Growth Rate||CAGR of 6.31% from 2020 to 2027|
|Forecast Unit (Value)||USD Million|
|Segments Covered||Component, End-User, And Geography|
|Regions Covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies Covered||Siemens AG, Ingersoll Rand, Atlas Copco, Rockwell Automation, Schneider Electric, Compressor Control Corporation, Emerson Electric Co., ABB Ltd.|
|Customization Scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What will be the compressor control system market size by 2027?
A1. The global compressor control system market is projected to reach a total market size of US$7345.629 million by 2027.
Q2. What is the size of the global compressor control system market?
A2. Compressor Control System Market was valued at US$4787.943 million in 2020.
Q3. What are the growth prospects for the compressor control system market?
A3. The compressor control system market is set to expand at a CAGR of 6.31% over the forecast period.
Q4. What factors are anticipated to drive the compressor control system market growth?
A4. The major factors propelling the compressor control system market growth can be attributed to the improvement in product quality specifications for critical industrial processes and large-scale applications across different industries.
Q5. Which region holds the largest share of the compressor control system market?
A5. Geographically, the North American region accounted for a significant share of the global compressor control systems market.
1.1. Market Overview
1.2. Covid-19 Scenario
1.3. Market Definition
1.4. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Driver
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of End-Users
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. GLOBAL COMPRESSOR CONTROL SYSTEM MARKET, BY COMPONENT
6. GLOBAL COMPRESSOR CONTROL SYSTEM MARKET, BY END-USER
6.2. Energy and Power
6.3. Oil and Gas
7. GLOBAL COMPRESSOR CONTROL SYSTEM MARKET, BY GEOGRAPHY
7.2. North America
7.3. South America
7.5. Middle East and Africa
7.5.1. Saudi Arabia
7.6. Asia Pacific
7.6.4. South Korea
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix
9. COMPANY PROFILES
9.1. Siemens AG
9.2. Ingersoll Rand
9.3. Atlas Copco
9.4. Rockwell Automation
9.5. Schneider Electric
9.6. Compressor Control Corporation
9.7. Emerson Electric Co.
9.8. ABB Ltd.
Compressor Control Corporation
Emerson Electric Co.
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