Market Research Report
Large Diameter Pipe (US Market & Forecast)
|Published by||Freedonia Group||Product code||180618|
|Published||Content info||232 Pages
Delivery time: 1-2 business days
|Large Diameter Pipe (US Market & Forecast)|
|Published: December 14, 2012||Content info: 232 Pages||
This publication has been discontinued on July 2, 2018.
US demand for large diameter pipe -- defined as pipe with a diameter of 15 inches or more -- will rise 6.1 percent per year to $8.15 billion in 2015. Gains will rebound strongly from the declining demand experienced during the 2005- 2010 period, in which large diameter pipe markets were negatively impacted by the 2007-2009 recession. State and municipal governments faced severe budgetary constraints in 2010 which caused many major projects to be delayed. Going forward, rising demand will be fueled by a more favorable environment for public infrastructure spending. Other factors benefiting large diameter pipe demand through 2015 include healthy increases in construction spending and manufacturing activity, as well as the continued need to upgrade and repair the country' s aging sewer and water pipe network.
Sewers -- including both storm and sanitary sewers -- will remain the leading outlet for large diameter pipe in 2015, accounting for about half of total demand. Sanitary sewers will be the faster growing of the two sectors, with advances bolstered by a rebound in building construction spending and public infrastructure investment. These factors will also drive rapid gains in demand for large diameter drainage and water transmission pipe. Demand for oil and gas pipe -- one of the few large diameter pipe markets to see healthy growth during the 2005-2010 period -- will decelerate through 2015, as pipeline construction activity slows due to an expected moderation in petroleum and natural gas prices. Subpar advances are also forecast for industrial processing and irrigation applications, which are associated with the slower-growing manufacturing and agricultural sectors.
Steel and concrete were the leading large diameter pipe materials in 2010, combining to account for about two-thirds of total demand. However, steel pipe will be the slowest-growing material through 2015, restrained by sluggish increases in oil and gas applications and market maturity in steel storm sewer pipe. Concrete pipe will fare better, rising at an above-average pace and rebounding from significant declines in demand during the 2005-2010 period. The most rapid gains in demand through 2015 will be for large diameter ductile iron pipe, driven by robust growth in the water transmission and sanitary sewer markets. However, as with concrete, the bulk of these advances will be regaining demand levels lost during the recession of 2007-2009.
Over the long term, the most favorable growth prospects are expected for large diameter plastic pipe, most notably HDPE, but also PVC and fiberglass. HDPE pipe will continue to gain share on competitive materials in the sewer and drainage markets, and is also seeing rapid increases in demand in water transmission applications, though from a small base. PVC pipe, which already dominates the small diameter sanitary sewer market, will increasingly penetrate large diameter uses as well. While fiberglass pipe is generally limited to more specialized applications due to its high cost, the material will see favorable opportunities as a replacement for steel and concrete pipe in the oil and gas, industrial and sanitary sewer markets.
Details on these and other findings are available in a new Freedonia industry study, “Large Diameter Pipe”, presents historical demand data 2000, 2005 and 2010) plus forecasts for 2015 and 2020 by market and material. The study also considers market environment factors, evaluates company market share and profiles industry competitors.