With the development of the electric vehicles and the renewable energy exceeds expectations, more and more views have been reached on the peak of oil demand in recent years. Both Bank of America Merrill Lynch and BP expect that the peak demand will occur before 2040. The International Energy Agency (IEA) predicts that demand for the oil in the passenger vehicle sector will peak in 2020.
The view of Shell is much more optimistic, he believes that the energy transformation is the reality and is ongoing, but the transformation methods in different fields are different. For industries such as apparel manufacturing and food production, the transition to electricity and renewable energy is faster and more direct because these processes are simple and don't require the ultra-high temperature processes. But for the steel, cement, and plastics industries, the situation is completely different. They require complex chemical reactions and ultra-high temperatures, which are beyond the reach of electricity and renewable energy, at least for the foreseeable future. And Shell does not publicly refute or support the peak demand for the oil. It believes that the global oil demand will remain at least for the next 20 years.
From the above situation, we believe that the industrial valves and electric actuators' demand will be also in a stable stage in the next 20 years, although many projects are still pending. And some of them are carried out step by step.