The North American oilfield chemicals market was valued at USD 15,474.00 million in 2017 and is expected to witness a CAGR of 4.89% during the forecast period of 2018 - 2023. The market is driven by several factors, such as increasing demand for oilfield chemicals due to increasing crude oil production, and shifting focus toward the development of eco-friendly chemicals.
The crude oil production in North America has been registering an upward trend since 2011. The increase in production and exploration can be attributed to increasing global demand. Due to increasing global population, the consumption of oil and oil-based products has recorded considerable growth. The use of oilfield chemicals in crude oil production and exploration is directly linked to the growth of the crude oil production market.
Corrosion inhibitors are used to reduce corrosion in the metallic pipes of oil wells. Inhibition is the preferred treatment for carbon steel pipes and vessels. The advantage of inhibition is that, in most cases, it can be used even when the process continues. Corrosion occurs due to the reaction of oxygen with metallic parts, to form oxides. Corrosion inhibitors act by forming a thin layer of barrier over the exposed parts. Several types of corrosion inhibitors are used in oilfields.
The Unites States has been the oldest and the fastest growing country in this market and is exhibiting its dominance in the North American oilfield chemicals market. The United States accounted for around 78% of the North American oilfield chemicals market in 2017. A rapid growth in unconventional oil & gas activity in North America, primarily in the United States, has resulted in the increasing consumption of chemicals used for various operations. This trend is likely to continue over the forecast period. The rapid exploitation of shale oil & gas reserves in North America contributed to the growth of this market. Lower oil prices have likely had a major impact on the drilling, stimulation, and completion activities of such chemicals. However, increasing oil & gas production activates and use of oilfield chemicals, primarily as specialty surfactants in fracking and drilling, which is a characteristic of oilfield chemicals, are expected to boost the growth of the oilfield chemicals market.
Major Players: AkzoNobel N.V., BASF SE, and Schlumberger Limited (Schlumberger Technology Corporation), among others
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