The global oil & gas terminal automation market size was valued at US$ 1258.0 Mn in 2021 and is likely to surpass a valuation of US$ 1303.1 Mn in 2022. Furthermore, with the rapid expansion of oil and gas industry, the overall demand for oil & gas terminal automation is poised to grow at 7.8% CAGR between 2022 and 2032, totaling around US$ 2761.6 Mn by 2032.
End users are looking for ways to increase their productivity and efficiency while still meeting customer demands as the number of terminal operations increases globally. This has increased awareness of the oil and gas terminal automation market.
Automation of oil and gas terminal processes, particularly those involving load authorization, product movement, product measurement, documentation, and reporting, involves the use of technology and systems. These solutions assist businesses in lowering costs while increasing productivity, efficiency, and safety.
Rising demand for energy across the globe along with increasing investments in terminal automation solutions is expected to provide a strong thrust to the growth of the oil & gas terminal automation market during the forecast period.
North America, spearheaded by the U.S. will continue to hold a prominent share of the global oil & gas terminal automation market. The region is one of the top oil and gas producers around the world. According to an estimate, North America’s oil production crossed the 23 million barrels per day mark in 2021. FMI predicts that North America is likely to account for more than 28% of the global market share on a value basis by the end of 2022.
Currently, the oil & gas terminal automation market forms around 23-26% of its parent market which is the global terminal automation market.
The market for automation at oil and gas terminals expanded at a moderate 4.5% CAGR. The oil and gas terminal automation market is anticipated to expand at a healthy CAGR of 7.8% between 2022 and 2032, however, as there is an increasing emphasis on updating and modernizing terminal infrastructure.
To better manage the effects of price fluctuations, the oil and gas industry has been characterized by a growing focus on operational cost reduction. Thus, the implementation of advanced systems based on sophisticated wireless technologies could result in significant savings in terms of wiring, labor, and other associated costs, which are increasingly adopted across key facilities. Accordingly, many of the companies operating in the global terminal automation systems market are offering systems with wireless sensors.
The U.S. accounted for more than 77% of the North American Oil & Gas Terminal Automation market in 2022 and is poised to grow at a robust pace during the forecast period. Growth in the U.S. oil & gas terminal automation market is driven by the rapidly expanding oil & gas sector, increasing investments by the government, rising adoption of automation, and the strong presence of leading market players.
The oil and gas terminal automation market in China is anticipated to expand at a 7.1% CAGR between 2022 and 2032, according to FMI. One of the main factors driving demand in the market is the increasing focus on reducing oil imports, the growing need to improve productivity across oil & gas facilities, and supportive government policies.
Key Players:
- Emerson Electric Co.
- ABB Group
- Rockwell Automation, Inc.
- Honeywell International, Inc.
- Schneider Electric SE.
- Yokogawa Electric Corporation
- Siemens AG.
- FMC Technologies, Inc.
