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Increasing Demand For Oil And Gas Production To Boost Production Chemicals Market: A Key Driver Powering Production Chemicals Market Growth In 2025
The Production Chemicals Market Report by The Business Research Company delivers a detailed market assessment, covering size projections from 2025 to 2034. This report explores crucial market trends, major drivers and market segmentation by [key segment categories].What Is the Current Production Chemicals Market Size and Its Estimated Growth Rate?
Recent years have seen a robust growth in the production chemicals market size. It is projected to rise from $6.68 billion in 2024 to $7.22 billion in 2025, with a compound annual growth rate (CAGR) of 8.1%. Factors contributing to past growth include an increased demand for oil and gas exploration and production, a growing requirement for specialty chemicals, an upsurge in deepwater drilling projects, a burgeoning enhanced oil recovery (EOR) market, and an escalating need for water management solutions.
The market size of production chemicals is anticipated to witness significant growth over the next few years. Its size is projected to hit $9.3 billion by 2029, rising at a compound annual growth rate (CAGR) of 6.5%. The growth during the forecast period is presumed to stem from the escalating demand for oil and gas production, rising global energy use, interest in improved oil recovery methods, heightened demand for hydraulic fracturing chemicals, and increased need for corrosion inhibitors. Key trends during this forecast period comprise the growth of industrial activities, development in the petrochemical industry, proliferation of renewable energy projects, technology integration, and strategic partnerships and collaborations.
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How Are Emerging Segments Shaping the Production Chemicals Market Landscape?
The production chemicals market covered in this report is segmented -
1) By Type: Demulsifiers, Corrosion Inhibitors, Scale Inhibitors, Asphaltene Inhibitors, Biocides, Scavengers, Surfactants, Other Types
2) By Oilfield Type: Onshore, Offshore
3) By Application: Cementing, Production Chemicals, Drilling Fluids, Improved Oil Recovery, Well Stimulation, Other Applications
Subsegments:
1) By Demulsifiers: Oilfield Demulsifiers, Industrial Demulsifiers
2) By Corrosion Inhibitors: Oil And Gas Corrosion Inhibitors, Water Treatment Corrosion Inhibitors
3) By Scale Inhibitors: Organic Scale Inhibitors, Inorganic Scale Inhibitors
4) By Asphaltene Inhibitors: Solvent-Based Inhibitors, Non-Solvent-Based Inhibitors
5) By Biocides: Glutaraldehyde-Based Biocides, Non-Oxidizing Biocides
6) By Scavengers: Hydrogen Sulfide Scavengers, Carbon Dioxide Scavengers
7) By Surfactants: Anionic Surfactants, Cationic Surfactants, Non-Ionic Surfactants
8) By Other Types: Fluid Loss Additives, Foaming Agents
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Which Growth Factors Are Influencing Production Chemicals Market Expansion?
An upsurge in oil and gas requirement is predicted to push the development of the production chemicals market onward. This heightened need for oil and gas results from economic expansion, population surge, industrial development, modes of transportation, demand for petrochemicals, and changes in weather. In the industry of oil and gas, production chemicals serve a vital function as they aid in maximizing output, improving operational proficiency, and maintaining the reliability of production machinery. For example, in September 2024, The Department for Energy Security and Net Zero, a governmental agency in the UK, reported a 16% surge in the net imports of primary oils in comparison to the second quarter of the year 2023, as an 8.7% hike in imports counterbalanced a 4.2% increase in exports during the 2nd quarter of 2024. In the meantime, the requirement for petroleum-based products witnessed a 1.7% rise in the second quarter of 2024 compared to the same timeframe in 2023. Therefore, the augmented demand for oil and gas is fuelling the expansion of the production chemicals market.
Who Are the Dominant Players Across Different Production Chemicals Market Segments?
Major companies operating in the production chemicals market are BASF SE, Dow Inc., Mitsubishi Chemical Corporation, Schlumberger Limited, Baker Hughes Company, Evonik Industries AG, Halliburton Company, Sasol Limited, Solvay S.A., Chevron Phillips Chemical Company LLC, Ecolab Inc., Akzo Nobel N.V., Huntsman Corporation, Albemarle Corporation, FMC Corporation, Clariant AG, SNF Group, Kemira Oyj, Stepan Company, Croda International Plc, Ashland Global Holdings Inc., Innospec Inc., W. R. Grace & Co., Cabot Corporation, Calumet Specialty Products Partners, L.P., LANXESS AG, Lonza Group Ltd.
What Are the Latest Developing Trends in the Production Chemicals Market?
In an effort to gain a competitive advantage in the production chemical market, leading companies are concentrating on groundbreaking technology such as chemical processing technology. This involves the use of scientific concepts and practical skills to handle equipment for chemical processing in industries like chemical manufacturing. Taking Sulzer Ltd., a Swiss-based industrial engineering and manufacturing company for example, they rolled out a new licensed technology called SULAC in December 2023. This cutting-edge tech allows manufacturers of polylactic acid (PLA) to flawlessly incorporate new lactic acid into lactide abilities, a crucial process in producing PLA, a biodegradable plastic. To create PLA, lactic acid has to be converted into lactide, a procedure limited by the existing supply, but facilitated by SULAC.
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Which Geographic Regions Are Expected to Dominate the Production Chemicals Market in the Coming Years?
North America was the largest region in the production chemicals market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the production chemicals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Production Chemicals Market?
2. What is the CAGR expected in the Production Chemicals Market?
3. What Are the Key Innovations Transforming the Production Chemicals Industry?
4. Which Region Is Leading the Production Chemicals Market?
Why This Report Matters:
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