Pipeline is one of the most common types of transportation modes when it comes to transporting liquids and gases. It enables transporting any chemically stable substance to distant places, which makes it highly convenient. Pipelines are often used to transport products from the petroleum and crude oil industries. Rising demand for these products along with their increasing network are expected to drive the global pipeline transportation market. The industry is expected to witness steady growth in the years to come, mainly with the technological advancements and rising demand from the emerging markets. As a result, the established players in this market are looking for an impressive growth across the emerging parts of the world, especially the developing regions.
Segmentation in Global Industry
In order to analyze the growth trends, researchers segment the global pipeline transportation market on the basis of the types of solutions, services, products and demand across different geographic regions. The types of products that are transported through the pipelines are segmented into chemicals, coal, water, oil and gas and such other products. The basic solutions available in the market are segmented into security, integrity and tracking, automation and control, network communication and such other solutions. The basic services in the market are categorized into maintenance and support, managed services and consulting services. Major geographic regions in the market are divided into North America, Middle East and Africa, Asia Pacific, Europe and Latin America.
Major Drivers and Restraints for the Market
According to the experts, the global pipeline transportation market is driven by four vital factors. These factors include strong advantages of this transport system which include safety and cost effectiveness. Spike in the demand for oil, gas, water and such other products, limited impact on environment as compared to the other means of transportation and rising demand for reliable and secure transport solutions for these products. Major restraining factors for the market include issues with cross-border transportation, stringent regulations and government laws and remote environments with harsh conditions. The global market is expected to witness growth trends from rising demand for safe transport, secure midstream solutions and growth in offshore solutions.
Market Forecasting Reports
As per the latest reports, the pipeline transportation market is expected to grow at a CAGR of over 10% from 2014 to reach a value of over $13.97 billion by the end of the year 2019. Rising demand for natural gas and oil, demand for cheaper transport methods, and growth in safe practices in transport are expected to create potential growth opportunities for the industry in the years to come. Emerging regions are expected to provide strong growth prospects for the key players in the market.