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Subsea Buoyancy Market | Covid-19 Impact Analysis
Covid-19 has impacted the market dynamics, competition, and global supply chains. The revenues has gone down in 2020 and may resume an uptrend gradually form 2021. Companies optimizing their operation and strategy will sustain and beat the competition.
Note: The summary below might not have included insights on covid impact since we have large number of reports.
This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s subsea buoyancy market realities and future possibilities for the forecast period of 2020 to 2025. The report segments and analyses the market in the most comprehensive manner to provide a panoramic view of the market. The vital data/information provided in the report can play a crucial role for market participants as well as investors in the identification of low-hanging fruits available as well as formulate growth strategies.
The Subsea Buoyancy Market: Highlights
Buoyancy is an upward thrust exerted by fluid opposing the weight of the immersed object. This upward thrust is equal to the weight of the water displaced by the immersed object. These phenomena are vastly used in different industries, such as oil & gas, drilling & mining, oceanography, ROV/AUVs, offshore renewable energy, fishing, defense, subsea cable and pipeline laying, and water sports, as a solution to their subsea operation. Buoyancy products are objects fabricated to apply these solutions. Buoyancies are of two types: surface (applications on the surface of the sea) and sub-surface (applications between the surface and the seabed) buoyancies. This report covers subsea (subsurface) buoyancies, which are used in a wide array of industries for various purposes including the reduction of hook load and surface tensions on the equipment while installation, providing lift and support arch to configure risers and umbilical, acting as a moor under the sea and as navigators and markers.
Subsea buoyancies account for a diminutive share of the total subsea equipment market but are forecasted to grow at a healthy pace over the next five years to reach an estimated value of US$ 359.6 million in 2025. The last three months had been very dynamics, imprinting a huge impact on the demand for subsea buoyancies as well as the supply chain of the market. The outbreak of coronavirus in China followed by the gradual spread across the world and then breach of the three-year-old pact to manage global oil prices by Russia are anticipated to leave a huge impact on the entire ecosystems of the oil & gas industry including subsea buoyancies. The prices of crude oil suffered their biggest decline in March 2020 since 1991 and are currently oscillating around $30 per barrel. It is anticipated that the prices are likely to remain low throughout the year 2020. However, the long-term outlook of the subsea buoyancy market still seems vigorous, propelled by several factors including an expected increase in offshore oil & gas spending, an increased number of oceanographic activities, and expanding offshore wind energy industry.
In recent years, major players have expanded their capabilities in order to gain a competitive edge in this briskly growing market. For instance, in 2019, Matrix Composites & Engineering invested US$ 2.2 million to upgrade its Henderson manufacturing facility to increase its production capacity.
Based on the end-use industry type, the market is segmented into oil & gas, drilling & mining, oceanography, technology, renewable energy, and others. Drilling & mining is expected to remain the largest segment of the market during the forecast period. Recovery in oil prices in 2018 coupled with more advanced and cheaper offshore drilling activities has made deepwater and ultra-deepwater drilling commercially viable. The commercial viability and large offshore oil & gas reserve discoveries in recent years have led to the dominance of the segment.
Renewable energy is estimated to be the fastest-growing end-use industry type during the forecast period. Reduction in production cost with the use of more efficient and bigger turbines, an increase in the demand for renewable energy, and initiatives taken by governments across the globe to reduce dependency on non-renewable energy are driving the demand for subsea buoyancies in offshore renewable energy.
Based on the material type, the market is segmented into synthetic foam, polyurethane, and others. Synthetic foam is expected to remain the dominant and fastest-growing material type during the forecast period. Increased crude oil prices in the past couple of years along with the exhaustion of many shallow-water production fields have led to an increased focus of E&P companies towards deepwater and ultra-deepwater oil & gas reserves. Synthetic foam-based buoyancies provide the lowest density possible in higher depths, making it a suitable claimant for the needs of the offshore oil & gas industry.
In terms of region, Europe is projected to remain the largest market for subsea buoyancies during the forecast period. Europe is the leader in the offshore wind energy market and has the largest operational wind farms for both bottom fixed and floating platforms. Presence of major ROV/AUV manufacturers, such as Soil Machine Dynamics Ltd. (SMD), Fugro, Saipem Sonsub, Subsea 7 S.A., and Oceaneering, and increasing activities in deepwater and ultra-deepwater oil fields in the North Sea are creating a huge demand for subsea buoyancies in the region.
Latin America is expected to be the fastest-growing market for subsea buoyancies during the forecast period, owing to recent discoveries of deepwater and ultra-deepwater offshore oil & gas reserves, continuous efforts by government and regulatory bodies to boost the offshore energy industry in the region, and expected significant growth in oceanography and renewable energy.
The supply chain of this market comprises raw material suppliers, subsea buoyancy manufacturers, distributors, and end users (such as oil & gas companies, ROV/AUV manufacturers, offshore drilling companies, and offshore renewable energy firms). The key players in the subsea buoyancy market are Trelleborg AB, Balmoral Offshore Engineering, Matrix Composites & Engineering Limited, Advance Insulation, Fendercare Marine, DeepWater Buoyancy, Inc., Bardot Group, PartnerPlast AS, Mooring System, Inc., and Unique Group.
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. More than 1,000 authenticated secondary sources, such as company annual reports, fact book, press release, journals, investor presentation, white papers, patents, and articles, have been leveraged to gather the data. We conducted more than 15 detailed primary interviews with the market players across the value chain in all five regions and industry experts to obtain both qualitative and quantitative insights.
This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision making for the existing market players as well as those willing to enter the market. The following are the key features of the report:
The subsea buoyancy market is segmented into the following categories.
Subsea Buoyancy Market, By End-Use Industry:
Subsea Buoyancy Market, By Function Type:
Subsea Buoyancy Market, By Application Type:
Subsea Buoyancy Market, By Material Type:
Subsea Buoyancy Market, By Region:
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