North American Frp Tank Market Report

Market Insights

FRP (fiberglass-reinforced plastic) tank is generally made up of resins such as polyester and vinyl ester reinforced with glass fiber. FRP tanks have a long service life of over 50 years without replacement or maintenance. They have about one-fourth the density of steel, which means in many instances, the tank can be installed manually at a minimal cost. FRP tanks possess excellent anti-corrosion property and can withstand the harsh effects of acids, alkalis, salts, oils, solvents, water, and atmospheric conditions.

Commercial industries and government agencies depend on tanks to store and transport petroleum products, corrosive chemicals, water & wastewater, fertilizers, pesticides, and salts.  Over the years, a variety of materials have been used to construct storage tanks such as concrete and steel but they do not provide similar benefits to fiberglass tanks, a tank that is structurally strong, corrosion-resistant, watertight, lightweight, and easy to install.

Impact of COVID-19 on the North American FRP Tank Market

The year 2020 is likely to be extremely challenging for the entire composite materials community. The FRP tank market in North America is no exception and is witnessing a huge decline in the demand amid the pandemic. All the major players are currently operating at a lower capacity, making efforts to align production based on market demand. Based on several primary interviews coupled with the recovery trends of previous downturns, Stratview Research believes that the region’s market may need four years to hit back its pre-COVID market and cross the landmark figure of US$ 0.5 billion by 2026.

Segments' Analysis

Fuel is the Most Dominant Application Type

Based on the application type, the market is segmented as oil & gas, fuel, industrial, and water/wastewater. Fuel is likely to remain the most dominant application type in the region’s market in years to come. In fuel, FRP tanks are used in a wide range of capacity from 2,500 liters to 200,000 liters for downstream fuel storage at retail fuel stations, convenience stores, and truckstop operators. Over the past 30 years, there has been an incessant shift from metal tanks to FRP tanks in the fuel applications. The market is highly consolidated with the presence of a few players.

FRP tanks are manufactured by NSF 61-listed materials which are chemical-free and good for potable water storage. In water/wastewater applications, they can be used for a multitude of applications including oil interceptors, municipal wastewater storage, stormwater management systems, grease interceptors, oil-water separators, water conservation tanks, fire protection tanks, onsite wastewater tanks, potable water storage tank, and industrial wastewater tanks.

Vinyl Ester is the Most Dominant Resin Type

Based on the resin type, the market is classified as polyester, vinyl ester, and others. The vinyl ester resin is likely to remain the most dominant resin type in the North American FRP tank market during the forecast period. Vinyl ester resin is widely preferred in FRP tanks due to its superior chemical & corrosion resistance and low permeability. Also, vinyl ester-based single and double-walled FRP tanks are prevalently used as underground storage tanks for chemical and petroleum.

Underground is the Most Dominant Installation Type

Based on the installation type, the market is classified as underground and aboveground. The underground tank is likely to remain the most dominant installation type in the market during the forecast period. The demand for an underground FRP tank is increasing because they are ideal for water & septic, gasoline, AV-gas, motor oil, kerosene, diesel, alcohol-gasoline blend motor fuels, ethanol-blend motor fuels, methanol blends, and oxygenated motor fuels storage applications. Over the years, major FRP tank manufacturers have been efficacious in driving a shift from metal tanks to FRP tanks in the region.

Spray Lay-up is the Most Dominant Manufacturing Process Type

Based on the manufacturing process type, the market is classified as filament winding, hand layup/rotating mandrels, spray lay-up, and others. The spray lay-up process is likely to remain the most dominant manufacturing process in the market during the forecast period. Spray lay-up is the extension of the hand lay-up method where a spray gun is used to spray pressurized resin and chopped fiber on a mold. It is much faster than hand lay-up. All the major North American FRP tank fabricators are heavily relying on filament winding and spray layup processes to fabricate tanks.

The USA will maintain its leading position

All three countries (the USA, Canada, and Mexico) are subjected to register a massive decline in the demand for FRP tanks in the year 2020 in the wake of the pandemic. Despite the huge decline, the USA is estimated to maintain its lead in the market in the coming five years.  Continuous rise in the penetration of FRP tanks in various applications, expected recovery in the oil & gas industry, and an expected increase in government spending on infrastructure will resuscitate the demand for FRP tanks in the country. The country has the largest number of manufacturers and users of FRP tanks in the region. Key players operating in the country are ZCL Composites Inc., National Oil Varco, and LF Manufacturing.

Market Scope & Segmentation

The North American FRP Tank market is segmented into the following categories.

North American FRP Tank Market Size, Share & Forecast, By Application Type

• Oil & Gas
• Fuel
• Industrial (Application Type Analysis: Chemical Storage, Chemical Processing, Others)
• Water/Wastewater (Application Type Analysis: Rainwater and Stormwater Collection, Plumbing Engineered Solutions, Wastewater, and Others)

North American FRP Tank Market Size, Share & Forecast, By Resin Type

• Polyester Tanks
• Vinyl Ester Tanks
• Other Tanks

North American FRP Tank Market Size, Share & Forecast, By Manufacturing Process Type

• Filament Winding
• Hand layup/ Rotating mandrels
• Spray Lay-up
• Others

North American FRP Tank Market Size, Share & Forecast, By Installation Type

• Underground FRP Tanks
• Aboveground FRP Tanks

North American FRP Tank Market Size, Share & Forecast, By Country

• The USA
• Canada
• Mexico

Key Players

The supply chain of this market comprises raw material suppliers, FRP tank manufacturers, distributors, and end-users.

The key players in the market are-

• Canwest Tank & Ecological Systems Ltd.
• Baraki Industries
• Endurance Composites, LLC
• Granby Industries
• LF manufacturing
• National Oilwell Varco
• Palmer of Texas
• Red Ewald
• ZCL Composites Inc. (Shawcor Ltd.).

The North American FRP tank market is highly consolidated with major players capturing a larger chunk of the market.

Some of the Key Strategic Alliances in the market:

• In 2019, Nation Oilwell Varco (NOV) has acquired Denali Incorporated. With this acquisition, the company also acquired the Denali Incorporated brands of Belco, Ershigs, Fabricated Plastics, Fibra, and Plasti-Fab.
• In 2019, Shawcor Ltd. acquired ZCL Composites Inc, the largest FRP tank manufacturer in North America. This acquisition has broadened Shawcor’s composite product and service offerings.

Research Methodology

For calculating the market size, our analysts follow either Top-Bottom or Bottom-Top approach or both, depending upon the complexity or availability of the data points. Our reports offer high-quality insights and are the outcome of detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders and validation and triangulation with Stratview Research’s internal database and statistical tools. We leverage multitude of authenticated secondary sources, such as company annual reports, government sources, trade associations, journals, investor presentation, white papers, and articles to gather the data. More than 10 detailed primary interviews with the market players across the value chain in all four regions and industry experts are usually executed to obtain both qualitative and quantitative insights.

Report Features

This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s North American FRP tank market realities and future market possibilities for the forecast period of 2021 to 2026. The report estimates the short- as well as long-term repercussions of the COVID-19 pandemic on the demand for FRP tanks at the regional as well as country-level. Also, the report provides the possible loss that the industry will register by comparing pre-COVID and post-COVID scenario. The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of low-hanging fruits available in the market as well as formulate growth strategies.

The following are the key features of the report:

• Market structure: Overview, industry life cycle analysis, supply chain analysis.
• Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
• Market trend and forecast analysis.
• Market segment trend and forecast.
• Competitive landscape and dynamics: Market share, product portfolio, product launches, etc.
• Attractive market segments and associated growth opportunities.
• Emerging trends.
• Strategic growth opportunities for the existing and new players.
• Key success factors.

Report Customization Options

With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

Company Profiling

• Detailed profiling of additional market players (up to 3 players)
• SWOT analysis of key players (up to 3 players)

Market Segmentation

• Current market segmentation of any one of the resin types or by application type

Competitive Benchmarking

• Benchmarking of key players on the following parameters: Product portfolio, geographical reach, country presence, and strategic alliances

Custom Research: Stratview research offers custom research services across the sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry at sales@stratviewresearch.com.