Harnessing Market Intelligence: Key Trends in Industrial Valves Procurement

Industrial Valves Category Overview

The industrial valves category is anticipated to grow at a CAGR of 5.7% from 2023 to 2030. The growth in the category is mainly driven by the rising usage of valves in power, oil & gas, metalworking, and chemical industries. To keep up with the growing demand, valve producers must lower fabrication costs while keeping up with the industry’s trends and innovation. Innovations such as control valves, smart valves, automatic valves, and valves with integrated electronics are expected to drive the category demand.

Automatic valves encompassing electric, hydraulic, pneumatic, solenoid, and digital mechanisms are increasingly favored by manufacturing facilities seeking unmanned operations with precise flow control. The primary benefit associated with automatic valves lies in their advanced preventive maintenance capability, effectively reducing the frequency of operational disruptions compared to traditional valves.

 

Order your copy of the Industrial Valves Procurement Intelligence Report, 2023 – 2030 , published by Grand View Research, to get more details regarding day one, quick wins, portfolio analysis, key negotiation strategies of key suppliers, and low-cost/best-cost sourcing analysis

 

The industrial Internet of Things consists of smart valves that have actuators mounted with digital valve positioners that can detect leaks and regulate flow rates. The positioner acts as an interpreter between the control system and the control valve assembly. The positioner receives signals from the control system and adjusts the air to the actuator. Further, the actuator moves the valve to the appropriate position. The positioner can also send feedback received from the valve stem or shaft.

The future of industrial valve manufacturing is anticipated to focus on eco-friendly practices and energy efficiency. Valve suppliers can contribute to the reduction of carbon footprint by designing it with low energy consumption and improved leak detection capabilities. Sustainable processes such as waste reduction and recycling will also contribute to the industry’s greener future.

 

Industrial Valves Procurement Intelligence Report Scope

The Industrial Valves category is expected to have pricing growth outlook of 5% – 6% (annual) from 2023 to 2030, with below pricing models.

  • Product-based pricing
  • Competition based pricing

 

Supplier Selection Scope

  • Cost And Pricing
  • Range Of Products
  • Customization Offer
  • Experience And Expertise In Valve Manufacturing
  • Geographical Presence
  • Compliance

 

Supplier selection criteria

  • Product Range Offered
  • Product Customization Offered
  • Quality
  • Time Taken To Manufacture
  • Delivery Option
  • Technology Used
  • Safety And Environmental Compliance
  • Location And Presence Of Supplier
  • Others

 

Industrial Valves Procurement Intelligence Report Coverage

Grand View Research will cover the following aspects in the report:

  • Market Intelligence along with emerging technology and regulatory landscape
  • Market estimates and forecasts from 2023 to 2030
  • Growth opportunities, trends, and driver analysis
  • Supply chain analysis, supplier analysis with supplier ranking and positioning matrix, supplier’s recent developments
  • Porter’s 5 forces
  • Pricing and cost analysis, price trends, commodity price forecasting, cost structures, pricing model analysis, supply and demand analysis
  • Engagement and operating models, KPI, and SLA elements
  • LCC/BCC analysis and negotiation strategies
  • Peer benchmarking and product analysis
  • Market report in PDF, Excel, and PPT and online dashboard versions

 

Industrial Valves Procurement Cost and Supplier Intelligence

The production of industrial valves involves the manufacturing of valve bodies, stem, and seat. These parts are produced by the casting method. Some manufacturers also use the forged method, which involves cutting & forging, trimming, sandblasting, machining, and surface treatment. Raw material, labor, machinery, land, utility, transportation, and others are some of the key cost components in the production of industrial valves. Raw materials such as cast iron, ductile iron, carbon steel, stainless steel, alloy steel, and others are used to manufacture valves. In 2021, the global price of cast iron was between USD 0.06 – USD 0.07/lb. In 2021, the prices of both raw materials (iron ore and steel) increased due to which valve manufacturers had to hike prices to keep up with the rising production and distribution costs.

Italy, Spain, and India are the hubs of valve manufacturing. In 2023, the prices of industrial valves in China were between USD 20 – 1000 per piece. In June 2023, the prices of valves in the U.S. amounted to USD 22,161 per ton. In 2021, China, Germany, and the U.S. were the top valves exporting countries.

Suppliers of raw materials and components may have some bargaining power, especially if they provide specialized materials or components. However, the industry often has multiple suppliers, reducing dependency on any one supplier. Additionally, backward integration is possible for some valve manufacturers, reducing supplier power.

In terms of industrial valve manufacturing, the hybrid model is a popular engagement model in the category, combining in-house and full-service outsourcing. Some suppliers opt for a partial outsourcing model. Companies outsource operations such as raw material procurement, and transportation services. Companies employ an in-house team for a complete manufacturing line from designing valves, assembly lines, and quality testing which can be beneficial for the company. Developing a strong relationship with suppliers of raw materials and evaluating suppliers with experience and expertise in valve manufacturing, range of products offered, compliance with certifications, and industry standards such as ISO, API 600, and others, customization capabilities, after-sales support, and service are the best sourcing practices in the category.

 

List of Key Suppliers

AVK, BEL Valves, XHVAL, PetroValve, Flowserve, KSB, KITZ Corporation, Velan, Bray International, Pentair

 

Brief about Pipeline by Grand View Research:

A smart and effective supply chain is essential for growth in any organization. Pipeline division at Grand View Research provides detailed insights on every aspect of supply chain, which helps in efficient procurement decisions.

 

Our services include (not limited to):

  • Market Intelligence involving – market size and forecast, growth factors, and driving trends
  • Price and Cost Intelligence – pricing models adopted for the category, total cost of ownerships
  • Supplier Intelligence – rich insight on supplier landscape, and identifies suppliers who are dominating, emerging, lounging, and specializing
  • Sourcing / Procurement Intelligence – best practices followed in the industry, identifying standard KPIs and SLAs, peer analysis, negotiation strategies to be utilized with the suppliers, and best suited countries for sourcing to minimize supply chain disruptions

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