Keywords: Control Valves, Digital Positioners and Actuators, Modulating Ball and Butterfly Valves, Market Research Study, Market Forecast, Market Growth
Despite the ongoing economic slowdown in China, the control valve market in China saw mild growth in 2014. Government efforts to boost domestic consumption, plus growth in aftermarket services, helped control valve suppliers compensate for the significant revenue drop from capex projects.
According to Rex Sun, principal author of ARC Advisory Group’s new Control Valves for China Market Research Study, ”Although control valve suppliers face some serious headwinds in the China market, the nuclear business, aftermarket services, plus the need to upgrade the electronic elements in many existing valve installations to accommodate digitization will continue to provide opportunities in the coming years that will help moderate those headwinds to a certain degree.”
Control Valves Evolve from Just Final Control Elements to Digital Assets
In addition to the globe, ball, and butterfly control valve bodies commonly used in a in a variety of industries, the associated digital valve positioners are assuming increased importance with today’s convergence of operation technology (OT) and information technology (IT) in industrial production. The convergence of OT and IT makes a compelling case for increased intelligence in control valves.
Digital valve positioners and actuators provide manufacturers with a wealth of process-related information about valve performance, maintenance, and operational issues. When shared with plant asset management (PAM) systems, this information becomes actionable, helping reduce maintenance costs, maximize availability of plant resources, and ultimately, improve plant profitability. Many end users are aware that control valves have evolved beyond simple final control elements to become key elements of asset performance management (APM) strategies.
Delays/Cancelations of Large Capex and Retrofit Projects
The steep drop in oil prices appeared to be the “final straw” that put many already skittish process automation markets into a contraction mode. Even during 2014, project activity slowed due to the increasing scrutiny placed on capital expenditures. Since then, the ongoing low oil prices, anti-corruption campaign and sustained slowdown regarding the economy in China, converged to significantly hamper large grassroots and retrofit projects. Overcapacity in the major process industries and lower demand also hinder many planned expansion projects.
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