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Oil Storage Market Size
Oil Storage Market size exceeded 790 million cubic meters capacity in 2021 and is projected to expand at over 3.5% CAGR from 2022 to 2030. Rising execution of capital projects to boost crude oil processing capacity will expedite industry expansion.
Oil prices continue to demonstrate high volatility and are expected to witness sharp spikes and sudden dips owing to global supply shortages. This fluctuation in oil prices and crude oil supply has resulted in increased attention toward the development of essential oil storage facilities. In the United States, refiners have been executing some capital projects to increase domestic crude oil processing capacity by 2023 end. Initiatives such as these to offset facility closures and mitigate supply risks will drive the production of crude oil storage tanks in the region as well as globally.
The construction of oil storage tanks, however, involves high costs associated with installation and deployment. Extensive forays into the renewable fuel sector may also limit capacity additions across the industry. Moreover, renewable energy prices are decreasing rapidly, making them more economical than fossil fuels including oil. Such factors may create roadblocks to oil capacity additions and hinder the industry progression.
| Report Attributes | Details |
|---|---|
| Base Year: | 2021 |
| Market Size in 2021: | 798.6 Million Cubic Meter (Capacity) |
| Forecast Period: | 2022 to 2030 |
| Forecast Period 2022 to 2030 CAGR: | 3.9% |
| 2030 Value Projection: | 1,144.2 Million Cubic Meter (Capacity) |
| Historical Data for: | 2018 to 2021 |
| No. of Pages: | 270 |
| Tables, Charts & Figures: | 421 |
| Segments covered: | Product, End Use, and Region |
| Growth Drivers: |
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| Pitfalls & Challenges: |
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Oil Storage Market Analysis
Oil storage market from the floating roof product segment is slated to exhibit around 4% growth rate through 2030. The growing requirement for robust storage solutions for medium and low flash point petroleum is a prominent factor driving product demand. Floating roof tanks are also considered safe and efficient for the storage of volatile substances, such as oil, with minimum vapor loss. Advantages associated with these storage containers will thus amplify product installation in oil refineries.
In terms of end use, the oil storage market volume from middle distillates segment accounted for nearly 187 million cubic meters in 2021. The robust demand for jet oil for aircraft engines, commercial and domestic heating, and transportation is one of the key factors bolstering the need for middle distillates storage tanks. Additionally, government bodies are targeting an uninterrupted supply of middle distillates refined oil across the global fuel trade market.
The LPG end-use segment is poised to depict over 3% gains between 2022 and 2030. A strong focus on the extension of crude oil refineries to address issues including surging oil prices, especially in the U.S., will fuel the usage of LPG tanks. In addition, discoveries of offshore oil fields will also strengthen the rate of crude oil refining and subsequently augment container production for LPG storage applications.
Asia Pacific is anticipated to hold more than 43% of the global oil storage market share by 2030. The growing emphasis on crude oil stockpiling for commercial and emergency applications, to meet the burgeoning petroleum demand, will foster regional industry share. Greenfield and brownfield expansions of key oil manufacturing companies are also observed across the nation. Moreover, with the rise in annual refinery throughput, the consumption of storage containers will jump considerably across the region.
Oil Storage Market Share
Top participants operating in the oil storage market are
- CST Industries
- NOV Inc.
- Ascent Industries Co.
- Snyder Industries
- LF Manufacturing
- Fisher Tank Company
- Superior Tank Co., Inc.
- Royal Vopak
- ElixirPro Engineering Solutions Pvt. Ltd.
- SHAWCOR
- Waterford Tank & Fabrication
- ERGIL
- T BAILEY, Inc.
These firms are emphasizing on collaborative facility developments to improve access to refined oil and reinforce their footprint across the global market.
For instance, in June 2022, Royal Vopak signed an agreement to manufacture three LNG gate terminals with N.V. Nederlandse Gasuni in Northwest Europe. The intention behind this collaboration was to ensure supply chain security and resiliency. This project, scheduled for commencement in the second half of 2023, will strengthen the presence of the companies in the industry.
COVID-19 Impact
Due to the economic slowdown following the COVID-19 outbreak, the world witnessed plummeting demand for petroleum and its products. Furthermore, the drop in demand and the supply chain disruptions resulted in a collapse in crude oil prices. These challenges subsequently impact the prices of refined petroleum and other downstream products. This includes gasoline, which may limit the need for storage solutions. However, with the gradual economic recovery, the initial downturn is giving way to renewed demand, positively influencing industry trends worldwide.
This oil storage market research report includes in-depth coverage of the industry with estimates & forecast in terms of “Capacity” from 2018 to 2030, for the following segments:
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Market Insights, By Product
- Fixed roof
- Floating roof
- Spherical
- Others
Market Insights, By End Use
- Crude oil
- Gasoline
- Aviation fuel
- Middle distillates
- LNG
- LPG
The above information has been provided for the following regions and countries:
- North America
- U.S.
- Canada
- Mexico
- Europe
- Germany
- Netherlands
- Spain
- Belgium
- Eurasia
- Russia
- Belarus
- Kazakhstan
- Armenia
- Kyrgyzstan
- CIS
- Azerbaijan
- Turkmenistan
- Uzbekistan
- Asia Pacific
- China
- Japan
- South Korea
- Singapore
- Malaysia
- Indonesia
- Middle East
- UAE
- Saudi Arabia
- Iran
- Africa
- Egypt
- South Africa
- Latin America
- Brazil
- Argentina
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