Drag Reducing Agents Market Size (2024 - 2029)

The drag-reducing agents market is experiencing rapid growth as it recovers from the impacts of the COVID-19 pandemic, driven by increased crude oil consumption in sectors like petrochemicals and energy generation. Despite environmental concerns and a shift towards biofuels potentially hindering expansion, advancements in research and technology, such as the development of nano-fluids, are expected to enhance market potential. North America is projected to lead in market share during the forecast period.

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Market Size of Drag Reducing Agents Industry

Drag Reducing Agents Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
CAGR 5.00 %
Fastest Growing Market Asia-Pacific
Largest Market North America
Market Concentration High

Major Players

Drag Reducing Agents Market Major Players

*Disclaimer: Major Players sorted in no particular order

Drag Reducing Agents Market Analysis

The global drag-reducing agent market is anticipated to register a CAGR of over 5% during the forecast period.

  • The COVID-19 pandemic had a negative impact on the market for drag-reducing agents as industries such as chemicals and petrochemicals, oil and gas, agriculture, electricity and energy, and others were shut down, decreasing the demand for the product. At the moment, the market for drag-reducing agents has recovered from the pandemic and is growing quickly.
  • Over the short term, a rise in crude oil consumption due to the expansion of end-use industries such as petrochemicals, energy generation, and oil and gas is anticipated to drive drag reduction agent market growth during the forecast period.
  • But the focus on switching to biofuels and the growing concern about the environment are likely to slow the growth of the global drag-reducing agents market over the next few years.
  • Nevertheless, increasing research and development activities and the incorporation of novel technologies for producing advanced drag-reducing agents such as nano-fluids to improve their performance are expected to generate attractive market growth and provide substantial potential in the forecast period.

North America is anticipated to dominate the global market in terms of revenue during the forecast period, and currently has the largest market share in the drag-reducing agent market.

Drag Reducing Agents Industry Segmentation

A drag-reducing agent is a chemical with a high molecular weight that is introduced to a pipe to reduce turbulence and thereby increase the ability and efficiency of flow through the pipe. The friction or interaction between the moving stream and the pipe wall causes turbulence in a pipeline. Drag-reducing compounds are widely utilized in the oilfield industry whereas their rising application in the transportation of crude oil, refined petroleum products, multi-phase liquids, and water is fueling market demand. The drag-reducing agent market is segmented by applications and geography. By application, the market is segmented into low- and medium-phase crude oil, heavy/asphaltic crude, multiphase fluid, refined products, and other applications. The report covers the market size and forecast for the drag-reducing agent market in 15 countries across major regions. For each segment, the market sizing and forecasts have been done based on the value (USD million) for all the above segments.

Application
Low- and Medium-phase Crude Oil
Heavy/Asphaltic Crude
Multiphase Fluid
Refined Products
Other Applications
Geography
Asia-Pacific
China
India
Japan
South Korea
Rest of Asia-Pacific
North America
United States
Canada
Mexico
Europe
Germany
United Kingdom
France
Italy
Rest of Europe
South America
Brazil
Argentina
Rest of South America
Middle-East and Africa
South Africa
Saudi Arabia
Rest of Middle-East and Africa
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Drag Reducing Agents Market Size Summary

The drag-reducing agents market is experiencing a robust recovery and growth trajectory following the setbacks caused by the COVID-19 pandemic, which had adversely affected demand across various sectors such as chemicals, petrochemicals, and energy. The market is poised for expansion, driven by increased crude oil consumption and the growth of end-use industries like petrochemicals and energy generation. However, the shift towards biofuels and environmental concerns pose challenges to the market's growth. Despite these challenges, advancements in research and development, particularly the integration of innovative technologies like nano-fluids, are expected to enhance the performance of drag-reducing agents, offering significant growth opportunities in the coming years.

North America is projected to maintain its dominance in the global drag-reducing agents market, supported by its substantial oil and gas reserves, urbanization, and infrastructure development. The United States, in particular, is expected to hold a significant share of the North American market, bolstered by increased oil and gas production and numerous petrochemical projects. The market's consolidated nature features key players such as Baker Hughes, Flowchem, and Innospec, who are actively engaging in strategic partnerships and acquisitions to enhance their market offerings. These factors collectively contribute to the anticipated growth of the drag-reducing agents market, especially in North America, over the forecast period.

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Drag Reducing Agents Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Drivers

      1. 1.1.1 Increasing Demand from Refineries

      2. 1.1.2 Other Drivers

    2. 1.2 Restraints

      1. 1.2.1 Switch to Biofuels

      2. 1.2.2 Rising Environmental Concerns

    3. 1.3 Industry Value-Chain Analysis

    4. 1.4 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.4.1 Bargaining Power of Suppliers

      2. 1.4.2 Bargaining Power of Buyers

      3. 1.4.3 Threat of New Entrants

      4. 1.4.4 Threat of Substitute Products and Services

      5. 1.4.5 Degree of Competition

  2. 2. MARKET SEGMENTATION (Market Size in Value)

    1. 2.1 Application

      1. 2.1.1 Low- and Medium-phase Crude Oil

      2. 2.1.2 Heavy/Asphaltic Crude

      3. 2.1.3 Multiphase Fluid

      4. 2.1.4 Refined Products

      5. 2.1.5 Other Applications

    2. 2.2 Geography

      1. 2.2.1 Asia-Pacific

        1. 2.2.1.1 China

        2. 2.2.1.2 India

        3. 2.2.1.3 Japan

        4. 2.2.1.4 South Korea

        5. 2.2.1.5 Rest of Asia-Pacific

      2. 2.2.2 North America

        1. 2.2.2.1 United States

        2. 2.2.2.2 Canada

        3. 2.2.2.3 Mexico

      3. 2.2.3 Europe

        1. 2.2.3.1 Germany

        2. 2.2.3.2 United Kingdom

        3. 2.2.3.3 France

        4. 2.2.3.4 Italy

        5. 2.2.3.5 Rest of Europe

      4. 2.2.4 South America

        1. 2.2.4.1 Brazil

        2. 2.2.4.2 Argentina

        3. 2.2.4.3 Rest of South America

      5. 2.2.5 Middle-East and Africa

        1. 2.2.5.1 South Africa

        2. 2.2.5.2 Saudi Arabia

        3. 2.2.5.3 Rest of Middle-East and Africa

Drag Reducing Agents Market Size FAQs

The Drag Reducing Agents Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)

Baker Hughes , Flowchem , Innospec , NuGenTec and Oil Flux Americas are the major companies operating in the Drag Reducing Agents Market.

Drag Reducing Agents Report Snapshots

Drag Reducing Agents Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)