The control valve market is expected to grow at a compound annual growth rate of 5.01 % to reach a market size worth US$11.641 billion by 2026. This market was valued at US$8.267 billion in 2019. A control valve controls fluid flow and pressure, temperature, and pressure by modulating the size of a flow passage, as in the process industries of water management, power production, oil & gas, food & beverage, and automotive. Different industries require different types of control valves since linear and rotary are both highly effective and safe. A number of industries are focusing on process automation, so the market may benefit from a lucrative opportunity. Valve control is important for optimizing efficiency, reliability, and profitability in these process industries. In addition, control valve manufacturers are continually seeking new ways to improve their products to meet the changing requirements of a range of industries.
There Is an Increase in Valve Demand in the Pharmaceutical and Health Care Industries Due to Pandemic
In light of COVID-19's rapid spread, the pharmaceutical and healthcare industries are leading the fight against the disease. There is an increase in the production of surgical instruments that are necessary to treat COVID-19 patients. There is a critical role played by control valves in the manufacturing of different types of medical devices, and many key industry players have seized the opportunity to participate in the fight against the pandemic. Companies have become increasingly involved in the research and development of automated devices, including solenoid valves, that are supplied by the pharmaceutical industry. In the pharmaceutical industry, a number of companies are developing advanced fluid handling systems, such as automatic dispensers for sanitizers and liquid soap, which, in turn, has increased the demand for valves. In this regard, increasing R&D investments in the pharmaceutical industry and rising medical device production spur the market for control valves.
Water and Wastewater Treatment Plants Are an Opportunity for Market Players to Address Sanitation-Related Issues Through Valve Installation
Due to the COVID-19 pandemic, sanitation and access to clean water have become even more important. As such, all residential services utilize the treatment plants, as these services are essential to providing quality water and wastewater. Several countries are also concerned about aging infrastructure in the water and wastewater treatment industry.
The United States, for example, has an extensive system of old pipelines for transporting water and wastewater. As old infrastructure ages, it is becoming more and more necessary to replace all the valves. For improved performance and increased worker safety, it is, therefore, crucial to replace these valves. Thus, the increasing number of new investments in water supply and sanitation projects, as well as the growing concerns of people regarding better sanitation create significant opportunities for valves that are used in water and wastewater treatment.
In terms of Market Share, Oil and Gas Dominates
As a result of rising energy demand and increasing drilling activities in the Gulf Cooperation Council (GCC) countries, the oil & gas industry accounts for the largest share of the control valve market. The expansion of the power infrastructure by the United States and the availability of natural gas is also expected to result in the construction of several new combined cycle gas turbine (CCGT) plants. This is anticipated to drive the market growth during the forecast period. In the US, over the last few years, transmission and distribution and reliability-focused pipeline investments have increased, and outages have declined slightly. Annual spending on high voltage transmission lines grew from $15.6 billion in 2012 to $21.9 billion in 2017, while annual spending on distribution systems of the electricity network — grew 54% over the past two decades. (Source: Infrastructurereportcard.org)
The Majority Will Be Held by the Pharmaceutical Sector
The low overall cost of equipment ownership, the ability to maximize uptime, and the reduction of maintenance costs are some of the benefits of improvements in sensor and valve technology for the pharmaceutical industry. With control valves, the actuator head is rotatable by 360°, making installation flexible. Because of this, installation costs for both existing and new projects are reduced, and actuators in compact valve arrays can be incorporated into manufacturing processes more efficiently. Pharmaceutical manufacturers have tried to incorporate new technologies into their control valve industry in order to make new accessories that, along with aseptic valves, ensure high functionality, efficiency, and reliability of a valve.
Significant Market Growth Is Expected in Asia-Pacific
China, India, Japan, and other countries in the Asia-Pacific region have benefited from the increased urbanization and the expansion of the middle class, thus encouraging the oil and gas, electric power, and chemicals industries. A rapidly industrializing economy and the development of a well-developed transport industry will boost demand for oil and gas in these countries. As a result of the need for potable water, desalination plants are also being established, which in turn leads to a higher demand for controlling valves. Another huge segment expected to drive demand is waste and wastewater management. For instance, over two trillion Japanese yen was spent on general waste management in Japan in fiscal 2019. This is a significant increase over approximately 1.8 trillion yen spent on this purpose in fiscal 2010.
The business has been impacted in a variety of ways by the COVID-19 pandemic. In recent years, an increasing number of Coronavirus cases has made people more aware of the importance of clean surroundings. Control valves have thus become more popular in the residential and commercial sectors over time. There has been a marked increase in the demand for different types of control valves in residential and commercial settings due to the frequency of disinfection cycles. For instance, Alfa Laval has seen a significant increase in demand for its Mixproof valves, which allows multiple fluids to be handled simultaneously and without risk of cross-contamination in hygienic flow processing.