Global Fracking Fluid End Market Size, Share, Trend, Dynamics, Forecast, & Growth Analysis- 2023-2028

The Fracking Fluid End Market will experience a promising CAGR of 4.2% in the long term to reach $734.7 Million by 2028.

Hydraulic fracturing, the technique used for the production of oil and natural gas, uses frac pumps to transmit the fracking fluid into the wellbore. Each frac fleet uses several frac pumps. Typically, 18-20 frac pumps are used per frac fleet. These pumps consist of two major components, the power end and the fluid end.

Responsible for the high-pressure injection of the fluid into the well, these fluid ends are not only an essential part of the frac pumps but are also an indispensable component of the pressure pumping market. The lifespan of a fluid end decreases with the use of recycled water, advanced chemicals & slickwater, and the quality of frac sand pumped through it. Stainless steel fluid ends offer a longer lifespan, ranging from 1,000 to 5,000 pumping hours, compared to carbon steel fluid ends (100 to 500 pumping hours). Due to this fact, the fluid ends market offers attractive opportunities to manufacturers despite accounting for ~30% only of the total pump’s cost.

The year 2020 brought up two major setbacks for the oil & gas industry: The price war between Russia and Saudi Arabia and COVID-19. The disagreement between Russia and Saudi Arabia on the reduction of oil production resulted in a more than 30% plunge in oil prices to below US$ 30 per barrel. The decline in oil prices has a major impact on the American shale industry as fracking becomes unprofitable at oil prices less than US$ 40 per barrel. The market for fracking fluid end, a sizeable market, was not immune to these trends and saw a significant decrease of more than 35% in 2020.

However, the price of crude oil is again back on track with the recovery from the pandemic. Recent changes in geopolitical conditions affected the supply demand dynamics. As a result, there was a spike in the price of crude oil and natural gas. According to EIA projections (June 2023), the average oil price is expected to stabilize at $79.5 per barrel in 2023 and is forecast to reach $83.5 per barrel in 2024.

Increasing oil demand is expected to lead to a surge in fracking activities, driving higher demand for fluid ends and propelling market growth alongside the rising number of frac stages in North America.

Segment Analysis

By Material Type

The fracking fluid end market is segmented into carbon steel and stainless steel. Stainless steel is likely to maintain its dominance in the market during the forecast period and is also likely to grow at a higher rate during the same period in the wake of its corrosion-resistant property and longer pumping hours as compared to carbon fluid end.

By End-User Type

The market is segmented into OE and aftermarket. Aftermarket not only governed the fracking fluid end market in 2022 but is also estimated to remain the fastest-growing end-user type during the forecast period. The lifespan of fluid ends gets shorter with the harsher fracking environment, a larger volume of proppant used, and rising pumping pressure resulting in increasing replacement of fluid ends in existing frac pumps. While the power end lasts for two years, fluid ends need to be replaced three to four times per year (approx.).

By Horsepower Type

The market is segmented into 2000-2500 HP and above 2500 HP. In 2022, fluid ends compatible with frac pumps of horsepower between 2000-2500 held a major share of the market. The above 2500 horsepower segment is expected to grow at a higher rate during the forecast period, driven by the gradual shift in demand towards higher horsepower pumps to reduce the number of assets on the site while extending the parts' life. For example, 11 units of 5,000 HP fracking pumps can do the job of 20 units of 2,500 HP frac pumps.

Regional Analysis

In terms of regions, North America is projected to remain the largest market during the forecast period primarily because of the presence of high technically recoverable reserves of shale oil & gas and the presence of major fluid end manufacturers in the region. The rise in the number of hydraulic frac stages in North America has resulted in a notable increase in high hydraulic pressure (HHP) requirements at well sites, subsequently driving the demand for fluid ends. Asia-Pacific is expected to witness the highest growth in the market during the forecast period, mainly driven by China. The country has increased its investments in the exploration and production of oil & natural gas, using the hydraulic fracking technique.

Key Players

The market is fairly consolidated with the presence of a handful of regional and global players. Most of the major players compete on some of the governing factors including price, product offerings, regional presence, etc. The following are the key players in the fracking fluid end market.

• GD Energy Products, LLC
• Caterpillar, Inc.
• TechnipFMC plc
• Kerr Pumps
• Forum Energy Technologies, Inc.

Research Methodology

This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market.

The fracking fluid end market is segmented into the following categories-

By Material Type

• Carbon Steel
• Stainless Steel

By End-User Type

• OE
• Aftermarket

By Design Type

• Quintuplex
• Triplex

By Horsepower Type

• 2000-2500 HP
• Above 2500 HP

By Region

• North America (Country Analysis: The USA and Canada)
• Europe (Country Analysis: Russia, Norway, and Rest of Europe)
• Asia-Pacific (Country Analysis: China, Australia, and Rest of Asia-Pacific)
• Rest of the World (Country Analysis: The Middle East, Latin America, and Others)