Metal Valve Manufacturers

Industry Profile Report

Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters

Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.

Call Preparation Call Prep Questions, Industry Terms, and Weblinks.

Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.

Industry Profile Excerpts

Industry Overview

The 900 metal valve manufacturers in the US produce devices that control, regulate, or isolate the flow of fluids and gases. Major valve categories include automated; ball; gate, global, and check; industrial butterfly; plug; and pressure relief. Large firms typically manufacture complementary products, such as pipes, fittings, instrumentation, control systems, and pumps. Customer industries include chemical; water and wastewater; petroleum production and refining; power generation; oil and gas transmission; pulp and paper; commercial construction; and food and beverage.

Dependence on the Health of Customer Industries

Demand for metal valves depends heavily on the health of end-use markets, such as the petroleum, chemical, and water/wastewater industries.

Foreign Production and Competition

Many large firms have operations and businesses in foreign countries, exposing them to changes in trade policy, fluctuations in currency rates, and uncertainty due to political instability.

Industry size & Structure

The average metal valve manufacturer employs between 44 and 152 workers and generates about $36 million annually.

    • The metal valve manufacturing industry consists of about 900 firms that employ 89,000 workers and generate about $32.5 billion annually.
    • The industry is concentrated; the top 50 companies account for about 66% of revenue.
    • Large US firms include divisions of Emerson (Fisher), Parker Hannafin, and Crane, Mueller Water Products, and Watts Water Technologies. The industry also includes large multi-national conglomerates headquartered in foreign countries.
    • The North American valve manufacturing industry supplies about 35% of worldwide valve demand, according to the Valve Manufacturers Association (VMA).
                                  Industry Forecast
                                  Metal Valve Manufacturers Industry Growth
                                  Source: Vertical IQ and Inforum

                                  Recent Developments

                                  Oct 8, 2024 - Rising Prices and Payrolls
                                  • Producer prices for metal valve manufacturers continued to rise in August, up 4.7% compared to a year ago after climbing 8.3% in the previous August-versus-August annual comparison, according to the latest US Bureau of Labor Statistics data. Prices continued to trend upward despite declining new orders and shipments, which fell by 1.5% and 1.2% year over year in June, respectively, according to the Census Bureau. In the first quarter, sales for fabricated metal products companies sank 21.9% YoY. Employment by metal valve manufacturing firms grew 2.2% year over year in August, while average wages at fabricated metal product manufacturers, which include metal valve makers, rose 5.7% over the same period to a new high of $26.40 per hour, BLS data show.
                                  • Campaign promises to strengthen the languishing US manufacturing sector, if realized, could help boost domestic demand for industrial valves. As part of her “America Forward” agenda, VP Kamala Harris has outlined $100 billion in new investments in manufacturing, offering tax credits to boost investment and create industrial jobs, investments in AI, science, and energy development, and supporting American-made products. Former President Trump has proposed instituting a four-year plan to boost domestic manufacturing so that the US doesn’t need to rely on China for crucial goods. He has promised big corporate tax cuts for manufacturing and protectionist across-the-board tariffs. In September, Trump threatened to slap farm and construction equipment manufacturer John Deere with a 200% tariff if it moved some production from Iowa to Mexico as planned. The Fed’s rate cut in September and the signal of more to come by year’s end will benefit the US industrial sector.
                                  • The National Association of Manufacturers has launched a campaign to extend the pro-growth tax policies in the 2017 Tax Cuts and Jobs Act, set to expire at the end of 2025, according to a recent press release. The campaign seeks to preserve 2017's tax reform to avoid economic damage to the manufacturing sector. Should Congress fail to extend the Act, NAM says manufacturers would face tax increases that would cost jobs and stifle growth and innovation. Notably, small manufacturers organized as pass-through businesses that pay tax at the individual tax rates face increases in their income taxes and a loss of tax reform’s 20% pass-through deduction. Investments in manufacturing growth will be delayed without action to restore immediate R&D expensing, accelerated depreciation for capital equipment purchases, and a pro-growth interest deductibility standard.
                                  • Artificial intelligence (AI) can help reduce scrap and energy usage in the casting process, helping the value industry to reduce its carbon emissions, according to a recent article in Valve World Americas (VWA). Castings are central to metal valve production and are found in pressure boundary parts, wedges, and other key valve components. However, foundries that produce metal castings are major energy consumers. Algorithms, machine learning (ML) models, and optimization techniques can be developed in metal casting processes to minimize casting defects through AI, reducing scrap and energy usage and, ultimately, carbon emissions. By taking a predictive ML/AI approach to the casting process, metal casters and valve manufacturers can plan their roadmap for sustainable manufacturing, writes VWA. Foundries should consider how AI solutions can be used to improve quality, reduce energy, and improve sustainability for casting and other processes used to make metal valves.
                                  Get A Demo

                                  Vertical IQ’s Industry Intelligence Platform

                                  See for yourself why over 60,000 users trust Vertical IQ for their industry research and call preparation needs. Our easy-to-digest industry insights save call preparation time and help differentiate you from the competition.

                                  Build valuable, lasting relationships by having smarter conversations -
                                  check out Vertical IQ today.

                                  Request A Demo