Industry Analysis & Industry Trends
The Electric Submersible Pump Manufacturing industry benefits from near-constant demand for oil and gas, and experienced steady growth in the past five years. However, revenue is expected to briefly decline in 2015 due to low oil prices. The global price of oil has lost nearly half its value since late 2014 due to oversupply, leading drilling firms to curtail production and, in turn, reduce their demand for industry products. Nevertheless, oil prices are expected to rebound in the five years to 2020, and the industry will consequently resume its growth over the period. The largest four companies will continue to control a majority of the market, reaping high profits and investing in ongoing technological innovation.... purchase to read more
Industry Report - Industry Analysis Chapter
Electric submersible pumps (ESPs) are a form of artificial-lift technology used to pump up oil and other liquids from the ground. ESPs, which can be used in both vertical and horizontal wells, have grown in popularity over the past decade because they are versatile, can pump large volumes and can break through deep reserves. The popularity of ESPs is expected to drive annualized industry growth of 2.5% in the five years to 2015.
However, this includes an expected temporary decline of 3.9% in 2015 due to the recent fall in crude oil prices, which will bring total revenue to $2.7 billion. The price of crude oil, which has lost half of its value since the fourth quarter of 2014, determines investment by oil drilling companies, the industry's primary market... purchase to read more