Distributed Control Systems Asian Market Saves the Day for DCS Manufacturers
Europe stagnates, Japan is in a stalemate and the US economy is only slowly recovering: Hard times for supplier industries like the manufacturers of Distributed Control Systems (DCS). But there is a bright spot: Asia, with its developing markets, has become the main growth driver for DCS, a new study shows...
The major growth in Distributed Control Systems (DCS) revenues continues to come from developing nations: The growth in countries such as India and China is especially important because of sluggish growth rates in other regions of the world. While developed nations are just holding their own (at best) in DCS investments, in developing countries, several recent trends are becoming increasingly important for success in the DCS business, a new study by ARC Advisory shows.
Both China and India are undergoing rapid growth and industrialization processes. At the time of this report, however, China’s growth is slowing. Even with a slowdown in China, Asia remains a leading growth engine for the global DCS marketplace, representing almost 35 percent of the world market.
Oil, Ming and Power Engineering to Drive Distributed Control Systems Market
ARC expects the top five growth industries in Asia to be oil & gas, mining & metals, cement & glass, water & wastewater, and electric power, in that order, with associated increases in DCS revenues. The growth of these industries is expected to be above average.
Demand for oil will continue to increase in the long term despite short-term demand shortfalls. Oil exploration and production is taking the industry into increasingly remote and hostile regions, increasing demand for remote operations and subsea production.