The centrifugal pumps market is fragmented. Some of the key players in this market are Flowserve Corporation, Schlumberger Ltd, Baker Hughes Company, KSB SE & Co. KGaA, and Weir Group PLC, among others. These companies dominate the market due to their extensive product portfolio catering to each End User and global brand presence. These companies dominate the global market with their extensive presence throughout the value chain.
The major companies are also focusing on signing partnership agreements with distributors, capacity expansions, and adopting different operational strategies to gain an edge in the competitive market space The market for centrifugal pump has grown significantly due to their increasing consumption in numerous end-use applications. Companies in the market offer a wide range of pumps sold through various channels, including e-commerce websites, company-operated websites, retailers and their websites, and distributors. Market participants compete based on several parameters, such as product performance, quality, technical competence, price, and corporate reputation. New product launches, licensing agreements, distribution network expansion, technological investments, and mergers & acquisitions are some of the key strategies adopted by the companies to strengthen their market position and gain a larger market share.
The Centrifugal Pumps Market is fragmented, with many players providing different specification at various stages of the value chain. Numerous companies are actively operating across different regions to cater to the specific demands of the customers. Business expansion through opening of new offices and production sites is the commonly adopted strategies by companies to expand their geographic reach. Due to the high profitability of the market, these major players focus on the acquisition of small regional players for a higher penetration into the regional markets. The growth of market vendors is dependent on market conditions, government support, and industry development. Thus, vendors should focus on regional expansion and products improvement. It has also been predicted that improvement of the global economic scenario, combined with efforts to enhance infrastructure, can fuel market growth, making it an ideal time to launch new products and increase the market presence.
Vendors with better technical and financial could develop innovative products. Therefore, vendors must develop new technologies to stay abreast of emerging technologies that could affect the continuing competitiveness of their products lines in the market.
The pumps market is anticipated to be driven by increasing investments in the oil & gas sector. Technological advancements in pump manufacturing and new product launches focusing on enhanced performance are expected to positively impact the market.
The advancements in Centrifugal pump technology have improved fundamental process operations, increased pump dependability, and provided long-term reductions in routine operating procedures. These developments have also improved pump performance and dependability while using less energy. These advanced pumps are used in various end-use industries such as agriculture, power, industrial wastewater, and chemicals, thereby augmenting their demand over the forecast period.
The demand for pumps in the oil and gas sector is expected to increase as oil and gas companies increase their investment in exploration and production activities around the globe. The market is characterized by the presence of both international and local producers due to the ongoing development in demand for water treatment in the coming years. Companies market their products through a variety of channels, including company websites, e-commerce websites, merchants, distributors, and end-users.
Manufacturers compete on a variety of aspects including product pricing, performance, design, technology, reputation, and availability. Companies are adopting a variety of strategies to expand their market reach and market share, including new product launches, distribution network expansion, R&D spending, and mergers and acquisitions.
The COVID-19 pandemic had a negative impact on the market Material for the year 2020, with small and medium scale companies struggling to sustain their businesses in the near-term future. Several manufacturers had to suffer losses due to the pandemic owing to the volatility of raw material prices, supply chain disruptions, and poor cash flows. This accelerated the number of acquisitions and mergers in the industry with players, such as Ingersoll Rand and Grundfos, being the leaders.
Increasing investments in the exploration and production activities by the oil & gas companies across the globe are anticipated to boost the demand for pumps in the oil & gas industry. The rising number of infrastructure upgrades, in terms of changing or the installation of new pipelines, is expected to have a positive impact on the market.
The advancements in pump technology have resulted in enhanced basic process tasks, increasing the reliability of the pumps, and providing a long-term reduction in everyday operating processes. These advanced pumps are mostly used in industries, such as industrial wastewater, agriculture, power, and chemicals.
Manufacturers are also focusing on new product launches keeping in mind the dynamic requirement of the market. However, new energy efficiency standards that are to be incorporated may require redesigning of pumps by manufacturers, which may incur high costs and time, thereby restraining the market growth. Moreover, due to fluctuating raw material cost and high set up cost, it is difficult for a new player to enter the market.
Dec 2021- Grundfos, among the world leaders in pumps and water solutions, announced the launch of its new generation of large CR pumps in India. Designed with world class efficiency upgrades to provide customers with improved flow performance and pump pressure, the range of CR 185, 215 and 255 caters to a wide range of applications — water supply, water treatment and almost all industrial solutions – including those for high-pressure, hot, dangerous, flammable, and aggressive liquids.
March 2022 - Flowserve partnered with Gradiant to Accelerate Growth in the Water Technology Market. This partnership combines Flowserve’s flow control solutions and product expertise with Gradiant’s innovative, tailored water treatment technology to provide unparalleled water treatment solutions for customers. Flowserve also continues to upgrade its water portfolio with market-leading flow control products and solutions for the water industry. Recent additions include the H2O+ submersible pump, a suite of highly efficient pumps for desalination, and the RedRaven IoT platform, enhancing the overall solutions portfolio and aftermarket services.
January 2021 - Sulzer acquired Nordic Water, a leading provider of screening, sedimentation, and filtration solutions for municipal and industrial water & wastewater applications. The acquisition allows Sulzer to grow its wastewater treatment business through equipment complementary to the existing portfolio of pumps. The company aims at exceptional opportunities to accelerate the growth in municipal and industrial wastewater and expand its offerings into the fast-growing water treatment market.
April 2021- IDEX Corporation acquired Airtech Group Inc., US Valve Corporation, and related entities for a cash consideration of USD 470 million from investment funds managed by EagleTree Capital. Airtech produces and designs various engineered pressure technology, such as centrifugal pumps, regenerative blowers, compressor systems, and valves.
February 2021- ABET Distributing USA, Inc., a significant industrial pump sales and service provider based in Houston, Texas, has announced the launch of CRANE 3" X 3" SELF-PRIMING CENTRIFUGAL PUMPS REBUILT. Self-priming centrifugal pumps are unique in that they can prime themselves under suction lift conditions. They draw fluid up from below-ground tanks or pits, making them easier and safer to work on than those below ground.
January 2022 - Sulzer expanded its portfolio of clean water pumps with the launch of the SES and SKS ranges, which are EN733 standard pumps designed for water treatment facilities, municipalities, and commercial and irrigation applications. The European market models of the pumps are equipped with high-efficiency IE3 or IE4 motors and allow users to choose from various instrumentation and auxiliary component options.
July 2021 - After working with Grundfos pumps for many years, oelheld GmbH, a leading fluid technology provider, announced that it has officially become a UK supplier of Grundfos Pumps. Grundfos offers a broad range of multi- and single-stage centrifugal top-mounted and fully submersible options to suit a wide range of existing setups.
June 2021 - AxFlow Italy, a provider of centrifugal pumps, acquired RPT S.r.l., a leading company in the overhaul and technical revision of centrifugal and volumetric pumps and industrial mixers. The acquisition is expected to help the company further strengthen its service business for centrifugal and other pumps in Europe.
May 2021 - The KSB Group launched a new generation of its submersible grey water pumps. The AmaDrainer 3I is compact with an integrated float switch and a maximum diameter of 155mm, making the pump suitable for narrow spaces such as light wells. According to the company, the product is highly versatile and can be used for cellar rooms, draining shafts, and extracting water from reservoirs and rivers.
July 2021 - Weir Minerals has introduced the Multiflo and Mudflo hydraulic submersible slurry pumps. These pumps have a hydraulically powered wet end specifically designed to reprocess and relocate tailings ponds, maintain water retention dams, and manage slimes and sludge ponds efficiently and safely. The innovative solution combines the Warman MGS pump-end, Multiflo CB32 hydraulic cutters, and ESCO excavation teeth to pump highly charged and abrasive slurries efficiently. Weir Minerals' unique Ultrachrome A05 chrome alloy impeller ensures high wear resistance. The specially engineered suction strainer minimizes the risk of clogging by preventing large solids & debris from entering the pump. Drawing on decades of Warman pump design experience, the Multiflo, Mudflo pump can pump between 150 and 1,200m3/h, up to 82m head.
October 2021 - Wilo announced the Launch of the non-self-priming multistage pump "Wilo-Medana CH1-L". Efficient system integration for drinking water applications. Wilo-Medana is an ideal product for potable water applications developed for water supply, pressure boosting, and industrial irrigation processes. The non-self-priming multistage pump achieves the highest hydraulic outputs with a stainless steel monobloc design, threaded connection, and a single- or three-phase AC motor. The single-phase AC motor is equipped with built-in thermal motor protection, containing an automatic start.
June 2021 - Amarinth, a global manufacturer of low lifecycle cost centrifugal pumps and associated equipment for various industries, announced that it had secured an order with its agent NAMA for 14 API 610 VS4 vertical pumps from ISCCO for the ADNOC Ruwais Refinery East, UAE.
February 2021 - Wilo Middle East, an international premium manufacturer of pumps and systems, announced the acquisition of PumpsPro, a well-reputed pump solution service provider under Direct Trade House International LLC (DTHI). The acquisition is expected to further consolidate Wilo Middle East’s position as a complete solution provider in the UAE and the Middle East region.
In September 2020, Alfa Laval AB won a contract to supply two FPSO (Floating Production, Storage, and Offloading) vessels to Framo pumping systems. The orders have a total value of approximately SEK 130 million. The two orders comprise centrifugal pumping systems for firewater and seawater lift services.
In May 2020, Wilo will extend its impression in the United States by laying out another central command and assembling plant in Cedarburg, Wisconsin. The new base camp will merge the exercises of Wilo USA, Weil Pump, and Scot Pump into a solitary assembling office.
In November 2020, Ringkbing-SkjernForsyning A/S (a Danish water organization) truly Sulzer an agreement to supply siphons for a critical flood insurance project in Denmark. Two extra siphoning stations have been worked to diminish the effect of rising water levels brought about by downpour, waste, and deluge. One XFP baseload siphon and three VUPX top burden siphons will be provided by Sulzer for the Ringkbing siphoning station, as will one XFP baseload siphon and four VUPX top burden siphons for the close by Skaelbkker station.
Map book Copco delivered a complete assortment of great electric centrifugal pumps especially planned for waste, slop, and slurry siphoning applications in January 2019. The siphons help in the anticipation of item disappointment, human error, sudden voltage drop, and overheating.
Pleuger expanded its activities in Singapore in April 2020 to help its situation in the Asian market.
Xylem presented another item, the Flygt N3069 tempered steel centrifugal pump, in July 2019. It is planned fundamentally for modern tasks with high chloride or serious pH values, and it supports consumption obstruction.
Threat of New Entrants
The Centrifugal Pump Market is at the stage where the well-established companies are increasing their investments in enhancing the technical specifications of pump, reducing the cost, and improving their market share in the cost-sensitive market. Therefore, it becomes difficult for new entrants to compete with established brands in the market. Additionally, new players need to invest heavily in creating a brand name through promotion and marketing. Setting up a pump processing facility to convert it into different usable End User in different industry requires substantial capital. However, the barriers to enter the market are not very high, and Pump industry is a capital-intensive business. New entrants are less likely to enter a dynamic industry where the established players keep defining the standards regularly. It significantly reduces the window of extraordinary profits for the new firms thus discourage new players in the industry. Large suppliers, which benefit from their economies of scale operations, can offer more competitive prices to customers. Substantial capital investment is required to establish economies of scale in manufacturing and production
Hence, the threat of new entrants in the global Centrifugal Pump market is expected to be low during the forecast period.
Bargaining Power of Suppliers
There are of various types of raw materials required to produce Centrifugal Pump, depending on the ultimate End User. The Centrifugal Pump manufacturers procure both raw materials and components from suppliers. The presence of raw material suppliers is wide. However, the demand for raw materials to manufacture is moderate as the parts are required to be produced while maintaining the highest manufacturing standards to achieve the required working efficiency in extreme working conditions. This reduces the bargaining power of suppliers.
Major pump manufacturers procure these raw materials and components in very high quantities, which lessens the bargaining power of suppliers up to a certain extent. However, the Pumps companies cannot easily switch suppliers due to the risks involved in not obtaining the required quantity and quality of materials and specification from new suppliers on time, which increases the switching cost. Hence, these manufacturers tend to have long-term contracts with their suppliers
Hence, the bargaining power of suppliers in the global Centrifugal Pump market is expected to be moderate during the forecast period.
Bargaining Power of Buyers
Bargaining power of buyers refers to the impact Centrifugal pump consumers can have on the manufacturers. There are a large number of manufacturers and suppliers in the market, which give the buyers an array of options to choose from. There is a bare minimum cost involved in switching suppliers as the product usually last for a few years. Based on these facts the bargaining power of buyers in high.
Hence, the bargaining power of buyers in the global Centrifugal Pump market is expected to be high during the forecast period.
Threat of Substitutes
Centrifugal Pumps have no direct substitutes that can match their technical specifications and features. Centrifugal Pumps are designed with a specific pattern and standards to cater to the specific requirement in the respective sector, which pushes the major buyers to rely on certain players. Thus, the threat of substitutes in the market is low.
Hence, the threat of substitutes in the global Centrifugal Pump market is expected to be low during the forecast period.
Intensity of Rivalry
The intensity of rivalry, in the submersible pump market is high. Most of the competitors in the market are multinational companies with substantial financial resources. This enables the companies to invest in their research and development department. These companies rely on innovation to stay ahead in the market. The companies are seeking opportunities to expand their services into new Countries with an exhaustive product portfolio. These factors have made the intensity of rivalry, very high.
Hence, the intensity of rivalry in the global Centrifugal Pump market is expected to be high during the forecast period.
