Pump it up: After brief decline, rebounding oil prices will improve downstream demand moving forward

The Electric Submersible Pump (ESP) Manufacturing industry is dependent on demand from upstream oil and gas exploration and production companies. As crude oil and natural gas prices crashed beginning late 2014, industry revenue subsequently deteriorated over the five years to 2017. Oil prices, which exceeded $100.00 per barrel in 2013, have fallen sharply since the end of 2014 due to global oversupply. By the end of 2017, the price of crude oil is expected to have lost about half its value since the beginning of the period, forcing losses on oil and gas companies and limiting their demand for ESPs. Fortunately for the industry, oil prices are expected to rebound over the next five years as major producers tighten supply on the world market...purchase to read more.

Industry Statistics & Market Size
Revenue
$3bn
Annual Growth 12-17
-0.6%
Forecast Growth 17-22
Profit
Employment
4,461
Businesses
25

Industry Threats & Opportunities

  • Changes in price and production volumes of oil and gas drives demand for the industry’s products
  • The industry has consistently operated at a trade deficit, and exports have declined
  • ESP exports are expected to grow over the next five years and boost industry gains
  • Industry Report - Industry Key Buyers Chapter

    Concentration in this industry is considered low to moderate. In 2017, the top four companies are expected to account for less than 30.0% of total industry revenue, with about 18.0% of that coming from industry leader Schlumberger. The industry's leading companies have been operational for several decades, growing and changing with the needs of downstream oil and gas production. Their worldwide operations and economies of scale enable them to reach emerging markets faster than their smaller competitors and also mass produce goods for less money through economies of scale. The industry is expected to increase its concentration through 2022, as the top players weather challenging market conditions and remain more competitive than their smaller counterparts...purchase to read more.

    Additional Insights for the Electric Submersible Pump Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Electric Submersible Pump Manufacturing Industry are

  • Use of high volume/low margin strategy
  • Effective quality control
  • Proximity to key markets
  • IBISWorld analysts also discuss how external factors such as Demand from oil and gas extraction and World price of crude oil in the Electric Submersible Pump Manufacturing industry impact industry performance..

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    What's in this report

    What is the Electric Submersible Pump Manufacturing Industry?

    This industry manufactures electric submersible pumps (ESPs) for oil and gas well drilling. Operators also provide monitoring systems, equipment engineering and other services that complement ESP systems.

    Industry Products
  • Low-temperature pumps
  • High-temperature pumps and Complementary services
  • Industry Activities
  • Manufacturing electric submersible pumps
  • Providing oil well monitoring services
  • Pump installation
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from oil and gas extraction
  • World price of crude oil
  • Trade-weighted index
  • World price of steel

  • Current Performance
  • Oil markets
  • The significance of trade
  • Industry profit and structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Strong demand
  • Trade movements
  • Industry profit and structure
  • Table: Electric Submersible Pump Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Electric Submersible Pump Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Mining
  • Oil Drilling & Gas Extraction

  • Key Selling Industries
  • Electrical Equipment Manufacturing
  • Iron & Steel Manufacturing
  • Nonferrous Metal Foundry Products Manufacturing

  • Products & Services
  • Low-temperature pumps
  • High-temperature pumps and Complementary services
  • Chart: Electric Submersible Pump Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Oil and gas extractors
  • Other Industries
  • Chemical industry
  • Exports
  • Chart: Major Market Segmentation for the Electric Submersible Pump Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciation, marketing, rent and utilitiesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Electric Submersible Pump Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Electric Submersible Pump Manufacturing Industry

  • Industry Globalization
    Schlumberger Limited, Baker Hughes, a GE company, LLC,
  • Table: Schlumberger Limited - financial performance
  • Table: Baker Hughes, a GE company, LLC - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Electric Submersible Pump Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Electric Submersible Pump Manufacturing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • Oil and natural gas price index (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Downhole
  • A reference to the placement of pumps and other equipment in the hole created by drilling.
  • Oil Well
  • Any boring through the Earth's surface that is designed to find and acquire petroleum oil hydrocarbons.
  • Predictive Diagnostics
  • Computerized controls that monitor pump and compressor demand to scale back or increase power to a specific unit based on real-time data.
  • What Our Customers Say

    Why buy this report?

    The Electric Submersible Pump Manufacturing Industry Research Report measures market size, analyses current and future trends, and provides an indication of market share for the industry’s largest companies. IBISWorld’s collection of industry market research reports gives you insightful, up-to-date information on the supply chains, economic drivers, and key buyers and markets for hundreds of industries.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Electric Submersible Pump Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Electric Submersible Pump Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Electric Submersible Pump Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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