Specialty Oilfield Chemicals Market

Specialty Oilfield Chemicals Market Outlook (2022-2032)

The global specialty oilfield chemicals market in 2022 stands at US$ 11.92 billion in valuation and is expected to climb to US$ 18.46 billion by the end of 2032. Sales of specialty oilfield chemicals across the world are anticipated to increase at a CAGR of 4.5% from 2022 to 2032.

The oilfield chemicals market encompasses products such as specialty oilfield stimulation chemicals, specialty biocides, specialty oilfield pour point depressants, and other chemicals that are used in several industries for different applications. Specialty oilfield chemical solutions are anticipated to witness a high growth outlook owing to increased activity in the oil industry.

Rising exploration and drilling operations across the world to meet the high demand for crude oil are expected to prominently influence specialty oilfield chemicals market potential and drive demand for specialty oilfield production chemicals and specialty oilfield stimulation chemicals.

Report Attributes	Details
Specialty Oilfield Chemicals Market Size (2022)	US$ 11.92 Billion
Predicted Market Valuation (2032F)	US$ 18.46 Billion
Projected Growth CAGR (2022-2032)	4.5% CAGR
North America Specialty Oilfield Chemicals Market Share (2022)	33.2%
Key Companies Profiled	Ashland Inc. BASF SE The Dow Chemical Company Clariant AG E.I. Du Pont De Nemours & Company Solvay SA The Lubrizol Corporation AkzoNobel NV Baker Hughes Inc. Kemira OYJ

In 2022, the use of specialty oilfield chemicals in enhanced oil recovery applications accounted for a value of US$ 1.72 billion, which is expected to rise at a CAGR of 3.8% across the forecast period.

Europe is expected to provide lucrative opportunities for specialty oilfield chemicals manufacturers as demand for energy generation increases substantially in the region. Demand for specialty oilfield chemicals in Europe is predicted to rise at a CAGR of 4.5% through 2032. Germany and the United Kingdom are expected lead specialty oilfield chemical consumption in the region over the years to come.

Specialty Oilfield Chemical Consumption Analysis (2017-2021) in Comparison to Market Growth Forecasts (2022-2032)

Specialty oilfield chemicals are chemicals used for specific applications in the oil industry and other industrial applications as well. Rapid industrialization and urbanization on a global scale are major factors that are driving sales of specialty oilfield chemicals.

From 2017 to 2021, the specialty oilfield chemicals market rose at a CAGR of 3.5% and accounted for a revenue total of US$ 11.54 billion in 2021.

The number of oil exploration and deep drilling activities performed across the world is increasing, and this is expected to drive specialty oilfield chemical consumption over the coming years.

Rising demand for shale gas exploration owing to high demand across the world is also anticipated to positively influence specialty oilfield chemicals market growth through 2032. Rising investments to capitalize on high demand from emerging markets are also expected to favor sales of specialty oilfield chemicals.

Increasing digitization is anticipated to drive demand for digital oilfield services and rising penetration of smart technologies will boost the adoption of smart oilfield infrastructure. These factors are expected to have a minimal impact on specialty oilfield chemicals market growth.

However, stringent government mandates against the use of harmful chemicals and high costs associated with the disposal of these chemicals are projected to have a hampering effect on the overall market growth over the forecast period.

Worldwide shipments of specialty oilfield chemicals from 2022 to 2032 are anticipated to increase at a CAGR of 4.5%.

What Issues Could Have a Detrimental Effect on Specialty Oilfield Chemicals Market Growth?

“Strict Norms against Use of Toxic Chemicals Could Slow Down Market Potential”

Over the past few years, the focus on environment conservation has increased substantially and this has resulted in the implementation of stringent mandates to govern the use of toxic chemicals and other elements that have a detrimental effect on the environment.

Oilfield chemicals are usually synthetic in nature and toxic in nature hence their improper disposal leads to devastating effects on the environment. As strict laws are put in place to avoid this it could lead to the adoption of other alternatives and hamper demand for specialty oilfield chemicals.

As such, this factor could adversely affect the specialty oilfield chemicals market growth over the coming years.

What Sways Specialty Oilfield Chemical Manufacturers towards APAC?

“Rising Investments in Energy Generation & Favorable Government Initiatives”

The specialty oilfield chemicals Asia Pacific is anticipated to provide highly rewarding business opportunities for top specialty oilfield chemical companies across the world owing to rapid industrialization and urbanization trends in the region.

Increasing demand for shale gas, growing population, increasing investments in the energy generation industry, supportive government initiatives to advance the petroleum industry, and low labor costs are expected to be significant factors driving specialty oilfield chemical demand in this region across the forecast period.

Emerging economies such as India, China, and Japan are predicted to be the most notable markets in this region in the years to come. Upstream chemicals are anticipated to witness high demand owing to rising exploration and drilling activities in the APAC region.

Specialty oilfield chemicals market size in the Asia Pacific region stands US$ 3.42 billion and the industry in this region is anticipated to hold a significant market share of 30.8% by the end of 2032.

This latest specialty oilfield chemicals market research report by Fact.MR, a market research and competitive intelligence provider has listed a detailed analysis of the current and forecasted market scenario for all the major regions across the world.

Why is MEA a Highly-preferred Market for Specialty Oilfield Chemical Suppliers?

“Presence of Major Oil-producing Countries in the MEA Region”

The MEA region is home to major oil producing countries such as Saudi Arabia, Kuwait, Qatar, Iran, etc. These countries are home to some of the world’s most prominent oil companies and this is expected to drive high demand for specialty oilfield chemicals in the region across the forecast period.

High oil production activity in the region is expected to bolster consumption of specialty oilfield chemicals. Rising demand for natural gas is also anticipated to provide new opportunities for specialty oilfield chemical suppliers over the forecast period.

The MEA specialty oilfield chemicals market currently stands at a net valuation of US$ 674.6 million and is predicted to expand at a CAGR of 3% through the end of 2032.

Country-wise Insights

Should Specialty Oilfield Chemical Suppliers Focus on the United States?

“Increasing Demand for Shale Gas to Drive U.S. Market Growth”

Shale gas production in the United States has been witnessing an upward trend and is expected to continue over the forecast period as well. Increasing environmental concerns and rising prices of fuels are propelling the demand for natural gas in the country and this factor is expected to favor sales of specialty oilfield chemicals through 2032.

In 2022, the specialty oilfield chemicals market in the United States stands at a value of US$ 3.63 billion and is projected to account for a dominant market share of 91.5% by the end of 2032 in the North American region.

Will China Be a Lucrative Market for Specialty Oilfield Chemical Companies?

“Rising Explorations in South China Sea to Propel Specialty Oilfield Chemical Sales”

Energy demand is on a rise in China and this trend is expected to be rife across the forecast period as well. To meet this high demand the government of China is investing in expanding its exploration scope into deep reserves that are present in the South China Sea. This is expected to provide new opportunities for specialty oilfield chemical suppliers in the country.

Moreover, rapid industrialization and the growing energy industry are also expected to fuel specialty oilfield chemical demand in China over the coming years. Specialty oilfield chemical consumption in China is projected to increase at a CAGR of 5.8% through 2032 and accounts for a net revenue total of US$ 1.46 billion at present.

Category-wise Insights

Why are Most Market Players Focusing on Demulsifiers?

“Sales of Demulsifiers to Account for Dominant Market Share”

In terms of type, the market is segmented into specialty oilfield chemical demulsifiers, specialty oilfield chemical inhibitors & specialty oilfield chemical scavengers, specialty oilfield rheology modifiers, specialty oilfield friction reducers, specialty biocides, specialty surfactants, and other types.

Demulsifiers are crucial in all kinds of oil applications as they separate water from oil and also reduce the overall maintenance and operational cost of equipment, hence they are expected to lead the oilfield chemical market.

The specialty oilfield chemical demulsifiers segment is expected to account for a major market share of 24.2% by 2032 and is predicted to expand at a CAGR of 6% across the forecast period.

Which Specialty Oilfield Chemical Application Brings in Major Revenue Streams?

“Production Segment Significantly Drives Revenue Potential for Specialty Oilfield Chemical Suppliers”

Of all applications, the production application segment is anticipated to primarily drive the specialty oilfield chemicals market revenues across the forecast period. Increasing demand for oil and gas across the world has resulted in increased production activity which is driving the consumption of specialty oilfield production chemicals.

At present, the production segment accounts for US$ 3.7 billion and is predicted to attain an estimated valuation of US$ 6.17 billion by the end of the forecast period. Specialty oilfield stimulation chemicals are also expected to witness an increase in demand over the coming years.

Competitive Landscape

Specialty oilfield chemical companies are focusing on the expansion of their business landscape through mergers, acquisitions, and partnerships. Specialty oilfield chemical manufacturers are also increasing their investments in various companies and raising their stakes to benefit from lucrative opportunities that industrialization offers.

• In November 2020, Saudi Arabia’s Industrialization and Energy Services Company TAQA announced a stake in OPT Petroleum Technologies Company. This ensured TAQA’s access to OPT Petroleum’s specialty chemical products and bolstered TAQA’s service scope.

Key Segments Covered in Specialty Oilfield Chemicals Industry Research

• By Type :

  • Demulsifiers
  • Inhibitors & Specialty Oilfield Chemical Scavengers
  • Rheology Modifiers
  • Friction Reducers
  • Specialty Biocides
  • Specialty Surfactants
  • Other Types

• By Application :

  • Production Chemicals
  • Well Stimulation
  • Drilling Fluids
  • Enhanced Oil Recovery
  • Other Applications

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA