Clad Pipe Market

Clad Pipe Market Outlook (2023 to 2033)

The clad pipe market is anticipated to increase from USD 2,560.6 million in 2023 to USD 3,938.7 million by 2033. According to FMI, the market is anticipated to develop at a CAGR of 4.4% over the course of the projected period.

The vital factors driving the global clad pipe market are the need to protect pipelines from highly corrosive maritime conditions and the relatively low cost of clad pipes in comparison to other CRA pipes.

CRA pipes are also used to prevent corrosion, but they are significantly heavy and more expensive than clad pipes, which encourages the demand for clad pipes. As a result, virtually all significant oil and gas firms now favor installing clad pipes for both onshore and offshore operations.

Clad Pipe Market has Benefited Significantly from the Oil and Gas Industry

Significant expansion of the oil and gas industry is anticipated to have a beneficial impact on the market expansion for clad pipes during the forecast period. Moreover, oil companies must find innovative technology to develop these heavy oil deposits to meet demand.

The same is true for gas, which comes from more than half of all gas fields in the globe and is extremely corrosive. Oil and gas developers must use every technological advancement at their disposal in these difficult conditions to sustain maximum production.

The integrity of risers and flow lines is a crucial factor, which is why sales of corrosion-resistant clad pipes are high. Corrosion is one of the key elements linked to the clad pipe market growth.

Corrosion is a significant issue in pipelines in the oil and gas industry Due to the many chemicals and gasses that oil and gas products convey. Further, this has prompted significant oil and gas corporations to choose the installation of clad pipes because of its affordability and resistance to corrosion.

According to the World Corrosion Organization, corrosion costs the global economy an estimated USD 2.5 trillion annually, or almost 4% of the GDP of industrialized nations. Of this, 45% - or about USD1 trillion - is spent on the oil, gas, and petrochemical industries.

The industry is moving toward the installation of efficient solutions due to the rising expenses of corrosion, as well as the leaks, maintenance, shutdowns, and turnarounds related to corrosion.

Report Attributes or Data Points	Details
Global Clad Pipe Market Valuation in 2022	USD 2,457.4 million
Estimated Global Market Share in 2023	USD 2,560.6 million
Forecasted Global Market Size by 2033	USD 3,938.7 million
Projected Global Market Growth Rate from 2023 to 2033	4.4% CAGR
Historical Market Growth Rate from 2018 to 2022	4.2% CAGR

Other Factors Influencing the Demand for Clad Pipe

• The construction of clad pipes is challenging and necessitates specific welding methods. Additionally, lined pipes are less expensive than clad pipes, which poses a problem as it discourages the adoption of clad pipes. But given its benefits, including excellent corrosion resistance, low weight, and affordable price points, the clad pipe market is anticipated to rise strongly during the projected period.
• An upward trend for market development is being created by expanding wastewater management operations around the world and growing research and development spending in the sector.
• The number of wastewater treatment operations has sharply increased around the world, as cases of water contamination have been on the rise. Moreover, due to their durability and non-reactive character, clad pipes are primarily utilized to convey wastewater from the industry to the treatment units. This, in turn, is assisting in the market's overall growth.

Region-wise Outlook

Asia Pacific is predicted to have significant growth in the market due to the expanding potential of developing nations. Additionally, it is projected that the growing willingness of companies to invest might further propel the regional market's expansion over the next few years.

In Europe, the Middle East, and African nations, there is expected to be promising expansion potential in the market for clad pipes. One of the significant elements contributing to the market for clad pipe's quick expansion is the potential for a significant increase in offshore oil and gas projects in the years to come.

Regional Market Comparison	Global Market Share in Percentage
The United States	30.8%
Germany	8.8%
Japan	4.4%
Australia	3.6%

North America Outlook for the Clad Pipe Market

North America controlled the industry due to its dominant market share. Some of the factors contributing to this enormous market are the presence of manufacturers and substantial investment in the oil and gas sector.

Regional Markets	CAGR (2023 to 2033)
The United Kingdom	4.2%
China	4.6%
India	5%

South America Outlook for the Clad Pipe Market

Petrobras need clad pipes in enormous volumes to extract oil from corrosive deep-water and pre-salt areas. Along with Petrobras, some of the big mining and energy firms in Brazil, such as EBX, Vale, Samarco, and BHP Billiton Ltd., also have high demands for clad pipes.

As corrosive environments for the oil and gas industry exist in Indonesia, South America, the Middle East, and Australia, manufacturers see enormous opportunities to develop their global operations in these regions. In the foreseeable future, companies intend to grow in markets.

Category	By Grade Type
Top Segment	316 Grade
Market Share in Percentage	43.5%

Category	By Outer Diameter
Top Segment	4 to 12 inch
Market Share in Percentage	37.4%

Category-wise Outlook

Segment	Leading Segment
By Pipe Type	The mechanically lined clad pipe sector is anticipated to experience the most expansion over the course of the projection period, while the metallurgical bonded segment is anticipated to maintain its dominance in terms of value share.
By Grade	In terms of market share, the 316 grade segment is anticipated to continue to dominate.
By Outer Diameter	The 4 to 12 inch segment is anticipated to have a significant market share and show significant expansion.
By Wall of Thickness	In the clad pipe market, the 3-6 mm sector is anticipated to have notable expansion. Due to the numerous upcoming offshore oil and gas projects, Western Europe, the Middle East, and Africa are anticipated to hold the majority share of the market segment.

Start-up Ecosystem

Startups Performing in the Clad Pipe Market?

Startups in the clad pipe market are developing successful projects that could make them significant industry players. Additionally, these revenue potentials are enticing companies to contribute more money to the clad pipe industry.

Big firms in the oil and gas sector are making investments in several nations of Europe, as well as in nations like China, South Africa, and the United Arab Emirates. Also, the overall market share in these areas is also driven by rising investment.

This year, the surface engineering firm MesoCoat began large-scale commercial production of clad pipes using a manufacturing process. According to company representatives, it is quick, effective, and capable of meeting the expanding demand for clad pipes in the international oil and gas industry.

• Headquartered in Euclid, Ohio, a new clad pipe production facility using MesoCoat's CermaClad technique opened in September of this year.
• MesoCoat is a subsidiary of Miami-based Abakan. The Wall Street Journal and Forbes have recognized MesoCoat for this cladding production technique, which, according to business representatives, can satisfy the expanding need for clad pipe as oil and gas producers seek out oil and gas reserves in harsh, highly corrosive conditions.
• In 2009, MesoCoat obtained a license for the technology's research and development, and in 2010, it obtained an exclusive commercial license.
• The company anticipates being able to manufacture more than 1.1 million square feet (100,000 square meters) of CermaClad-clad pipe, plates, and other components annually by the end of 2013.

Competition Influences the Clad Pipe Market

Companies that operate in the worldwide clad pipe industry are using a variety of tactics to outperform their rivals. Also, a lot of vendors want to improve their capacity for production. In addition, they are increasing their investments in cutting-edge machinery for their production facilities. For instance

• The Group's headquarters in Erndtebrück, Germany, focuses on producing clad pipes with high-quality standards in a variety of sizes.
  • To do this, a full-scale clad manufacturing production facility was added to the production site. Using cutting-edge equipment, EEW is able to satisfy all customer demands for quality, dimensions, and tolerances.
  • The clad pipes can be processed directly thanks to a recently put-in-place internal pickling facility. This guarantees a productive production process. We assist our clients in the effective execution of their projects with tailored solutions.
  • This service also involves arranging and guaranteeing effective collaboration with subcontractors in addition to production. EEW has built a network of trustworthy subcontractors and raw material suppliers to ensure its success. As a result, EEW is likely to continue to serve its clients as a reliable partner in the execution of challenging projects
• Inox Tech develops clad pipes by utilizing its extensive experience in the production of corrosion-resistant alloys and its in-depth understanding of low alloys and carbon steel materials.
  • The demand for line pipes made of corrosion-resistant metals is rising on the market. Clad material combines the strong strength of carbon manganese steels with the corrosion and resistant qualities of CRA.
  • This combination of carbon steel material with a high wall thickness with CRA material with a small wall thickness produces a cost-effective product.
• Gieminox was amalgamated with Tectubi Raccordi's Gieminox-Tectubi Raccordi Welded Pipes Division in 2011.
  • Expanding the company's product line by producing clad pipes with an OD of 6 to 100 in all types of steel and welded pipes, starting at 3 and encompassing all non-standard diameters. Since then, the company has made investments in machinery such as brake presses, heat treatment furnaces, and rolling, welding, and turning machines to ensure high manufacturing standards in accordance with international specifications and to accelerate delivery.
• A global leader in weld cladding, pipe cladding, clad pipe fitting, and fabrication, IODS Pipe Clad Limited combines cutting-edge technology with 25 years of renowned knowledge. The Oil, Gas, and Offshore business offers a complete supply of weld-clad parts, pipes, and fittings from IODS.

Key Players Profiled in the Global Market

• The Japan Steel Works, Ltd
• NobelClad
• Proclad
• Inox Tech
• Tenaris SA
• Eisenbau Krämer GmbH
• EEW Group
• IODS Pipe Clad Ltd
• BUTTING Group
• Cladtek Holdings Pte Ltd
• Gieminox Tectubi Raccordi S.R.L.
• Canadoil Group Ltd
• Jiuli Group
• Precision Castparts Corp
• Guangzhou Pearl River Petroleum Steel Pipe Co., Ltd

Key Segmentation

By Pipe Type:

• Metallurgical Bonded
• Mechanically Lined
• Weld Overlay

By Grade:

• 316
• 625
• 825
• Others

By Outer Diameter:

• 4 to 12 Inch
• 12 to 24 Inch
• 24 to 48 Inch
• 48 to 60 Inch
• 60 to 120 Inch

By Wall Thickness:

• 3 to 6 mm
• 6 to 18 mm
• 18 to 36 mm
• 36 to 60 mm
• 60 to 120 mm

By Region:

• North America
• Latin America
• Asia Pacific
• The Middle East and Africa
• Europe

Frequently Asked Questions

What is the Growth Outlook of the Clad Pipe Market?

The global clad pipe market is anticipated to expand at 4.4% during the forecast period.

What is the Projected Value of the Clad Pipe Market by 2033?

The global market is predicted to value USD 3,938.7 million by 2033.

What was the Historical Size of the Clad Pipe Market?

The global market was valued at USD 2,457.4 million in 2022.

Which Country is the Dominant Share Holder in the Global Market?

The United States accounts for nearly 30.8% revenue share of the global market.

Which Regional Market has the High Growth Potential?

India is predicted to witness a CAGR of 5% in sales of clad pipes through 2033.

What is the CAGR from 2023 to 2033?

The CAGR for the market is 4.4% until 2033.

How was the Market’s Historical Performance?

From 2018 to 2022, the market expanded at a 4.2% CAGR.

Which Country Holds the Majority of Share?

By 2033, the United States is estimated to account for 30.8% of the market.

Which Key Segment Drives the Market?

Globally, the 316-grade type holds 43.5% of the market.

What are the Key Opportunities for the Market Players?

Increasing wastewater management offers key opportunities.