According to a new report published by Allied Market Research, titled, “Drill Pipe Market," The drill pipe market size was valued at $1.3 billion in 2021, and is estimated to reach $2.2 billion by 2031, growing at a CAGR of 5.4% from 2022 to 2031.
A drill pipe is a seamless steel pipe that makes up around 95% of the length of drill string. Drill string is a tool that is used to drill into the earth to retrieve resources such as oil & gas, and petroleum. The Drill pipes are hollow, allowing drilling fluid to flow freely throughout a pipe and completing pumping operation properly.
The drill pipe market growth is dominated by North America and Asia-Pacific. Countries such as China, the U.S., Japan, and Russia hold majority of the drill pipe market share in production and consumption of drill pipe, owing to high investments in oil & gas exploration activities.
According to the report, the American Petroleum Institute (API) grade drill pipes generated high revenue in 2021, owing to standardized design and manufacturing of these pipes. However, the necessity for deep drilling of rigs is expected to boost demand for heavy weight drill pipes (HWDP). Hence, the segment is expected to exhibit significant growth during the drill pipe market forecast period.
However, the COVID-19 pandemic led to shutdown of the drill pipe market in many countries, such as China, the U.S., and India. This has directly impacted the sales of drill pipe companies. In addition, lack of manpower and raw materials also constricted supply of equipment of drilling pipes, which negatively impacted the growth of the drill pipes market. However, reopening of production facilities and introduction of vaccines for coronavirus disease are anticipated to lead to re-opening of drill pipe industry.
Key Findings of The Study
- The report provides an extensive analysis of the current and emerging global drill pipe market trends and dynamics.
- Depending on type, the standard drill pipe segment dominated the drill pipe market, in terms of revenue in 2021, and the heavy weight drill pipe segment is projected to grow at a significant CAGR during the forecast period.
- By grade, the API segment has registered highest revenue in 2021.
- Asia-Pacific is projected to register highest growth rate in the coming years.
- Key players within the global drill pipe market are profiled in this report, and their strategies are analyzed thoroughly, which helps understand competitive outlook of the global drill pipe industry.
- The report provides an extensive drill pipe market analysis of current trends and emerging drill pipe market opportunities.