Control Valve Shipments Return to Pre-Recession Levels
This study is intended to serve as an effective planning guide for control valve, actuator, and positioner suppliers and new entrants to the business. Control valves regulate the rate of fluid flow as the position of the valve plug or disk is changed by an actuator. Control valves are used to maintain a process variable as close as possible to the desired set point.
Control valve shipments returned to pre-recession levels, however, risks remain. High oil prices due to growing demand from emerging nations and continuing political turmoil in the Middle East could upset growth. US unemployment rates continue to be a deterring factor, as does the European debt crisis. The slowdown in China and India further increases the risks facing control valve vendors. Due to the numerous risks still present, many vendors are wondering where, and how much, to invest in their manufacturing capacity and after-market service capabilities. Many control valve suppliers are actively shifting manufacturing capacity, after-market initiatives, and people to emerging markets, as they expect a larger share of their global business to come from these regions in the future.
Strategic Issues
The challenge facing control valve suppliers today is finding a way to differentiate themselves and continue offering increasing value to customers. This is especially important as the market returns to positive growth. Going forward, well-planned strategies are invaluable for control valve suppliers to strengthen and expand their market foothold. The strategies highlighted in ARC Advisory Group’s Control Valve Worldwide Outlook report should be considered to enable suppliers to remain competitive and position themselves for continued success, and moderate the effects of the ongoing global economic uncertainty.
