The Global "Petrochemical Heaters Market" size is estimated to grow at a CAGR of 8-9% during the forecast period 2022-2029.
Petrochemical heaters procedure is an integral part and plays a vital role in petrochemical operations. Petrochemical heaters are utilized in the refinery and petrochemical industry to heat hydrocarbon for fractionation, thermal cracking, and high-temperature processing.
Polyethylene, butane, urea, propylene, aromatics, smelling salts, pentane, and ethylene requires thermal processing in the petrochemical industry which is accomplished by the utilization of different petrochemical heaters. Heat transfer procedures are a crucial factor of any oil refining, petrochemical & chemical industry and they are utilized for different purposes. These are structured and produced with innovative metallurgy and they require high working temperatures.
Petrochemicals are rapidly becoming the largest driver of global oil consumption. They are set to account for more than a third of the growth in oil demand to 2030, and nearly half to 2050. The combination of a growing global economy and technological development will translate into increasing demand for petrochemical products which ultimately develops the growth of the Petrochemical heaters market.
The rising growth of oil & gas and petrochemical industries are the crucial factors for the growth of Petrochemical heaters market worldwide. Furthermore, the growing population and increasing energy demand are the key driving factors impacting the market. Increasing energy demand worldwide is the primary reason for the growth of the market. For instance, Global energy demand rose by 2.3% in 2018, and it is the fastest pace in the last decade. The world’s three largest energy-intensive countries, China, the United States, and India, together accounted for nearly 70% of the rise in global energy demand. The United States experienced the largest increase in oil and gas demand worldwide in 2018.
Hugh capital investment is the major restraint hampering the growth of the market. For setting up a petrochemical complex a high investment is required. Due to the long-time taking process for the completion of construction, many new petrochemical complexes are not set up every year worldwide.
Based on the application, the Petrochemical heaters market is divided into Petrochemical and chemicals. The global Petrochemical heaters market size by application type was worth USD XX million in 2018 and is estimated to reach USD XX million by 2026, at a CAGR of XX% during the forecast period. Petrochemical is expected to hold a major market share in the estimated period. Petroleum is the basic raw material to produce olefins such as ethylene, propylene, and aromatics, including benzene, xylene, and toluene.
Petrochemical is chemical compounds derived from feed-stocks such as crude oil, natural gas, and gasoline. Major companies are focusing on the development of sustainable Petrochemical plants, which has led to the shutting down of older, smaller, and less efficient plants. For instance, OMV, an oil and gas company headquartered in Vienna, has made the decision to invest USD 72 million in the construction of an ISO C4 plant at the Burghausen Refinery, with operations planned to start in September 2020.
By product type, the Petrochemical heaters market is segmented into hot oil heaters, cracking furnaces, and steam superheaters. The global Petrochemical heaters market size by product type was worth USD XX million in 2018 and is estimated to reach USD XX million by 2026, at a CAGR of XX% during the forecast period. Cracking furnaces are expected to grow with a high CAGR rate in the estimated period. Cracking furnaces heaters are often referred to as fired heaters and direct-fired heaters. These are pieces of equipment often used in processing facilities to heat gases or liquids up to the desired temperature.
Cracking furnaces in the petrochemical and refining industry are critical pieces of equipment that can have a major impact on process unit safety, reliability, and economics. In cracking furnaces, raw materials are converted such as ethane, liquefied petroleum gas (LPG), naphtha, atmospheric gas oil (AGO) and hydrocracker residue into ethylene and valuable by-products.
On the basis of heaters type, the Petrochemical heaters market is classified into liquid vapor petrochemical heaters and liquid phase petrochemical heaters.
Based on the design, the Petrochemical heaters market is classified into box-type furnaces, vertical cylindrical heaters, and cabin cylindrical heaters.
The North America Petrochemical heaters market size by product type was worth USD XX million in 2018 and is estimated to reach USD XX million by 2026, at a CAGR of XX% during the forecast period. North America is dominating the global Petrochemical Heaters market in 2018 and is estimated to hold the largest market size over the forecast period (2020-2027). Investments and as well as the capacity expansion of Petrochemical has been increased in North America. For instance, as per AMPF, Over USD 200 billion to be invested in U.S. Petrochemical industry by 2020. The U.S. is a major exporter of petrochemical products to regions, including Europe as well as countries, such as China and India.
Furthermore, the Consumption of petrol in North America is rising over the past decade. For instance, as per U.S. energy information administration, Petroleum consumption in the United States increased to 20.5 million barrels per day (b/d), or 37 quadrillion Btu in 2018, up nearly 500,000 b/d from 2017 and the highest level since 2007. Growth was driven primarily by increased use in the industrial sector, which grew by about 200,000 b/d in 2018.
The Asia Pacific Petrochemical heaters market size by product type was worth USD XX million in 2018 and is estimated to reach USD XX million by 2026, at a CAGR of XX% during the forecast period. Asia Pacific is expected to grow with a high CAGR rate in the estimated period. China, India, and Japan are expected to grab a major share in the Asia Pacific region for the Petrochemical heaters market.
Investments in the Asia Pacific are increasing for Petrochemical industry which is a favorable factor for the growth of Petrochemical heaters year on year. For instance, Aramco has planned investment in the USD 44-billion refinery and petrochemical project on India’s west coast. The Japanese government is looking for reducing the refinery capacity in order to increase the sector’s efficiency, which will have a direct impact on petrochemical heaters market. China is the largest consumer of petrochemical products due to the favorable export-oriented government policies. And having large production facilities.
The Petrochemical Heaters market is moderately competitive with new players entering the market. Some of the major players include Wattco, HarbisonWalker, Gaumer, Schniewindt, Fulton, Okazaki, Babcock Power, Jiangsu Yanxin, Exotherm Corporation, Chromalox, and Cetal.
The key players are adopting various key strategies such as product launches which are contributing to the growth of the Petrochemical Heaters Market. For instance, Wattco is presenting the various type of heaters for petrochemicals like electric heaters, immersion heaters, flange heaters in the market.
Companies are also engaged in capacity expansions to take advantage of future opportunities.
Major players are investing in setting up manufacturing units in developing economies of the Asia Pacific and Latin America. For instance, In July 2019, Aramco has announced that they are planning to invest USD 44-billion in the refinery and petrochemical project on India’s west coast.
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