Artificial Rod Lift Market Size

Artificial Rod Lift Market size is projected to grow at around 6.2% CAGR during the forecast period i.e., between 2024-2036.

The growth of the market can be attributed to the increasing application of artificial rod lift in oil drilling, combined with the increasing number of new exploration fields across the globe. The rod lifts are designed to be inserted inside the tubing of a well to gather fluids from underneath. It is used to collect oil and other fluids, and lift them to the surface, which is why, it is ideal for application in oil wells. The increasing use of artificial lift systems in various end-user industries, is estimated to boost the market growth. The growing demand for crude oil and petroleum products, has raised the need for oil extraction, which is estimated to boost the market growth. However, COVID-19 had a severe impact on the oil & gas industry, resulting in a massive decline in oil demand in 2020, which is expected to recover over the upcoming years. According to the data by the International Energy Agency, the global oil demand declined by 8.6 million barrel per day in 2020. This is expected to rebound, by registering an increase of 5.4 million barrel per day in 2021, and by 8.5 million barrel per day in 2022. Further, by the end of 2022, the demand for oil is projected to surpass the pre-Covid levels. Moreover, increasing investment by major companies for oil drilling in offshore as well as onshore reservoir, is estimated to boost the market growth.