Impact of COVID-19 on the Industrial Valves Market
The spread of COVID-19 has led to strict measures being taken by governments across the world. To reduce the spread of the pandemic, nationwide partial or complete lockdowns were imposed in many developing and developed countries. These lockdowns resulted in the temporary closure of manufacturing plants, retail stores, malls, and restaurants, adversely impacting the global economy both in terms of revenue and product demand. The production of Industrial valves was disrupted, causing a huge gap between demand and supply. The COVD-19 pandemic also impacted the supply chain operations of industrial valves manufacturers. Companies have faced liquidity issues; however, few companies were able to sustain operations even during the pandemic. For instance, Flowserve Corporation, a provider of fluid motion and control products and services, continued to maintain a strong balance sheet. As of March 31, 2020, the company had available liquidity of approximately USD1.3 billion, including over $600 million in cash and cash equivalents and approximately USD 710 million available under the company’s revolving credit facility.
Industrial VALVES SHIPMENTs in the U.S., Market Forecast, 2020 (USD Million)
According to MRFR analysis, the recession in 2020 is expected to lower the demand for industrial valves further. A few of the key industrial valve types that are expected to account for large market shares in terms of revenue include gate, globe and check valves, ball valves, industrial butterfly valves, and automated valves. These valves are expected to find applications in various industry verticals, including power generation, oil & gas, petroleum refining, iron & steel, and pulp & paper. The market has been projected to rebound from the Q4 of 2020, and manufacturers are expected to resume production at full pace to fill the demand and supply gap effectively.
Source: Valve Manufacturers Association of America
Source: Primary Experts, Secondary Sources, and MRFR Analysis