Drag Reducing Agent Market Trends

Growth Drivers

Expanding Oil and Gas Industry: The relentless growth in the oil and gas sector necessitates the efficient transportation of hydrocarbons through pipelines, a prime application area for DRAs. Enhanced flow rates and reduced energy consumption are imperative to meet this surging demand. According to the International Energy Agency (IEA), global demand for oil and gas is projected to rise steadily, with oil demand surpassing 105 million barrels per day by 2040.
Technological Advancements: Advanced technologies enable precise DRA formulation and application, optimizing their performance in various fluid compositions and pipeline configurations, further driving industry adoption.
Environmental Regulations: To comply with these regulations, the DRA sector is investing heavily in developing eco-friendly formulations. This shift toward sustainable solutions opens up new market segments and opportunities.

Challenges

Environmental Concerns: Some conventional DRAs are not biodegradable and can pose ecological risks if they enter the environment. Industry players are actively working on developing eco-friendly DRAs with reduced environmental impact. Regulatory compliance and adherence to stringent environmental standards are becoming essential.
Regulatory Compliance
Market Competition

Drag Reducing Agent Market: Key Insights

Base Year	2024
Forecast Year	2025-2037
CAGR	5.6%
Base Year Market Size (2024)	USD 708.01 million
Forecast Year Market Size (2037)	USD 1.32 billion
Regional Scope	North America (U.S., and Canada) Latin America (Mexico, Argentina, Rest of Latin America) Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific) Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

Frequently Asked Questions (FAQ)

In the year 2025, the industry size of drag reducing agent is evaluated at USD 739.16 million.

The drag reducing agent market size was over USD 708.01 million in 2024 and is anticipated to exceed USD 1.32 billion by the end of 2037, growing at over 5.6% CAGR during the forecast period i.e., between 2025-2037. Increasing demand for oil and gas will drive the market growth.

Asia Pacific industry is projected to hold revenue share of 38% by 2037, due to the increasing industrial activity comes greater demand for energy and petrochemicals in the region.

The major players in the market include Nalco Champion (Ecolab Inc.), Baker Hughes, Innospec Inc., Lubrizol Corporation, Halliburton, Clariant AG, Schlumberger Limited, The Dow Chemical Company, Flowchem, Croda International Plc.

Drag Reducing Agent Market Trends