by The SURF (Subsea Umbilicals, Risers, and Flowlines) market has been witnessing steady growth over the past few years. Surf products are extensively used in offshore oil & gas projects for transportation of hydrocarbons from the subsea wellheads to platforms, ships, or onshore terminals. Key components include umbilicals, flowlines and risers that carry well fluids, power cables and communication links. SURF equipment is deployed in deep and ultra-deep waters with technically advanced features like reliability and longevity to withstand harsh subsea environmental conditions. The development of improved surf technology coupled with execution of large offshore projects has increased the market attractiveness.
The Global SURF Market is estimated to be valued at US$ 50.08 Bn in 2024 and is expected to exhibit a CAGR of 13% over the forecast period 2024 to 2030.
Key Takeaways
Key players operating in the SURF market are Amazon.com, Inc., MercadoLibre, Inc., eBay, Inc., Otto Group, Wal-Mart Stores, Inc., Snapdeal.com, Alibaba Group Holding Limited, Tesco PLC, Alibaba Group Holding Limited, Tesco PLC, Rakuten, Inc., and Flipkart Internet Private Limited. These players are adopting various organic and inorganic growth strategies to expand their market presence.
The global market offers ample opportunities for manufacturers in form of rising investments in offshore hydrocarbon exploration & production activities. The market is witnessing a shift towards deep and ultra-deepwaterexploration activities to meet increasing energy demand. Offshore pipeline projects are also gaining momentum in Asia Pacific and Middle Eastern regions.
Geographical expansion into new offshore reserves through mergers & acquisitions and strategic partnerships will further aid growth of key SURF market players. North America and Europe are major regional markets however Asia Pacific market is projected to witness highest growth owing to new offshore project investments by national oil companies.
Market Drivers
Rise in offshore oil and gas projects is a key driver estimated to propel the market growth during the forecast period. Increase in global energy demand paired with depleting onshore reserves has accelerated focus on offshore reserves development. According to IEA, offshore oil & gas production is anticipated to increase by around 5 million barrels per day between 2019 to 2024, therebypositively impacting demand for SURF equipment. This factor will significantly aid SURF Market expansion in coming years.
PEST Analysis
Political: Regulations regarding offshore exploration and production activities impact investments in subsea systems technology. Changes in such regulations can affect demand for Subsea Umbilicals, Risers, and Flowlines equipment.
Economic: Economic growth and activity in end-use industries like oil & gas exploration drives demand for subsea production systems. A contraction in economic growth can adversely impact investments in subsea projects and demand for SURF equipment.
Social: Rising energy needs from a growing population and higher standards of living increases the emphasis on offshore reserves to meet these needs. This boosts investments in setting up new offshore production facilities requiring SURF equipment.
Technological: Advancements in subsea hardware and software leads to higher efficiencies and capabilities to tap reservoirs located far offshore in deeper waters. This stimulates demand for technologically advanced SURF solutions to economically develop such reserves. Improved inspection and maintenance methods using technologies like robots also support the market.
The geographical regions where the SURF market is concentrated in terms of value are North America and Europe. Together these two regions account for over 60% of the global market value due to their mature offshore oil and gas sectors with extensive subsea infrastructure.
The fastest growing region for the SURF market is expected to be Asia Pacific led by countries like China, India, Indonesia, Australia and Malaysia. With offshore exploration activities ramping up in the region to cater to rising energy demands, significant investments are being made in setting up new offshore production facilities. This drives strong growth for SURF equipment suppliers to provide integrated solutions for developing oil and gas reserves located offshore throughout Asia Pacific.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
