North America Mini and Midi Horizontal Directional Drilling Market (By Machine Type: Pile Driver; By Application; By Machine Size; By Parts Type; By Tooling; By End-use) - Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

North America Mini and Midi Horizontal Directional Drilling Market Size and Growth 2024 to 2033

The North America mini and midi horizontal directional drilling market size was estimated at around USD 3.78 billion in 2023 and it is projected to hit around USD 6.72 billion by 2033, growing at a CAGR of 5.93% from 2024 to 2033. The North American market for mini and midi horizontal directional drilling (HDD) is experiencing significant growth, driven by the increasing demand for efficient underground construction solutions. HDD technology has become a critical method for installing underground utilities, such as pipelines and cables, with minimal disruption to the surface environment.

Key Pointers

• By Machine Type, the utility vibratory plow segment generated the maximum market share of 28% in 2023. 
• By Machine Size, the midi segment held the largest revenue share of 80% in 2023. 
• By Parts Type, the rigs segment contributed the largest market share of 34% in 2023.
• By Tooling, the transition rod segment captured the maximum market share of 29% in 2023.
• By End-use, the oil & gas extraction segment held the largest revenue share of 35% in 2023. 
• By Application The offshore segment captured the maximum market share of 69% in 2023.

What are the Growth Factors of North America Mini and Midi Horizontal Directional Drilling Market?

The growth of the North America mini and midi horizontal directional drilling (HDD) market is primarily driven by the rising demand for efficient and minimally invasive underground construction techniques. As urbanization intensifies and infrastructure projects increase, there is a growing need for technologies that can install utilities such as water pipelines, gas lines, and telecommunication cables without disrupting existing structures. Mini and midi HDD equipment, known for their precision and adaptability in confined spaces, are increasingly preferred in urban environments where traditional trenching methods are impractical. Additionally, the push for upgrading aging infrastructure and expanding broadband networks further fuels the demand for these drilling technologies across the region.

Report Scope of the North America Mini and Midi Horizontal Directional Drilling Market

What are the Trends in North America Mini and Midi Horizontal Directional Drilling Market?

• Increasing Urbanization: The rise in urban development projects is driving the demand for mini and midi HDD technologies, which are well-suited for densely populated areas where space is limited and minimal surface disruption is crucial.
• Expansion of Fiber Optic Networks: The rapid expansion of high-speed internet and telecommunications infrastructure is boosting the need for HDD solutions to lay fiber optic cables underground, particularly in urban and suburban areas.
• Environmental Considerations: Growing environmental concerns and regulations are encouraging the adoption of trenchless technologies like HDD, which have a lower environmental impact compared to traditional open-cut methods.

What are the Key Challenges Faced by North America Mini and Midi Horizontal Directional Drilling Market?

• High Initial Costs: The initial investment required for mini and midi HDD equipment can be substantial, posing a barrier for small contractors and limiting market penetration in some regions.
• Skilled Labor Shortage: There is a growing shortage of skilled operators and technicians trained in HDD technology, which can lead to project delays, increased operational costs, and safety risks.
• Regulatory Compliance: Navigating complex and varying regulations across different states and municipalities can be challenging for HDD operators, potentially leading to increased costs and project delays if not properly managed.
• Geological Variability: The diverse geological conditions across North America, such as varying soil types and rock formations, can impact drilling efficiency and equipment wear, making some projects more difficult and expensive.

Machine Type Insights

Based on machine type, the North America mini and midi horizontal directional drilling market has been segmented into utility vibratory plow, utility tractor, pile driver, foundation machine, boring machine, and others. In 2023, the utility vibratory plow segment held the largest revenue share of 28%. This machine drills underground to install flexible conduits at an appropriate depth, creating a path to pull pipeline or fiber cable through. These machines are used in the telecommunication industry for fiber cable installation and in the O&G industry for pipeline installation. The growth of the sectors, as mentioned earlier, is expected to drive the demand for utility vibrator plow HDD machines of mid and mini-types in North America.

The pile driver held the second-largest revenue share in 2023 owing to the demand in the telecommunication and O&G industries for pipeline and cable installations. Companies such as STARKE and others are involved in the manufacturing of pile drivers offering strong power, automatic anchoring, and other advantages.

Machine Size Insights

The market for mini and midi HDD machines has been divided based on machine size. Among these segments, the midi segment held the largest revenue share of 80% in 2023. This dominance can be attributed to the widespread adoption of midi HDD machines in the telecommunications industry, specifically for underground fiber cable installation projects.

In recent years, there has been a surge in infrastructure development in North America, resulting in improved availability of broadband services to households. This has led to an increased demand for fiber cable installation projects in the region. The midi HDD machines have played a crucial role in meeting this demand, thereby solidifying their market position.

Furthermore, significant companies are involved in manufacturing mini-HDD machines specifically designed for smaller conduits and pipeline installations. For instance, on May 16, 2023, AT&T Intellectual Property collaborated with BlackRock, Inc. to install fiber optic internet cables in Florida metro areas. This project necessitated the use of mini HDD machines and aimed to expand their 5G wireless networks across the United States.

Parts Type Insights

Based on parts type, the North America mini & midi HDD market has been segmented into rigs, pipes, bits, and reamers. The rigs segment held the largest revenue share of 34% in 2023 owing to the application of underground utility installation, which includes installation of pipelines, cables, and conduits without disturbing the surface in industries such as construction and telecommunication for infrastructural development.

Reamers held the second largest revenue share in 2023 due to the large-scale adoption of reamers in HDD. Reamers are widely used in HDD operations in the oil and gas industry. Reamers are used to enlarge the pilot hole and create a suitable bore path for oil and gas pipeline installation. As the demand for energy resources grows, so does the need for reamers in HDD for oil and gas infrastructure.

Tooling Insights

Based on tooling, the mini and mid-sized HDD market has been segmented into transition rods, HDD drill pipes, HDD drive collars, chucks and subs, HDD paddle bits, HDD rotary and pulling equipment, and others. The transition rod segment held the largest revenue share of 29% in 2023 due to its ability to effectively manage the lateral and torsional stresses generated during deep-hole RC drilling. Transition bars are used under the stress of HDD projects for stress redistribution. Stress redistribution increases drill string life, reducing the risk of failure during drilling operations.

End-use Insights

In terms of end-use, the mini & midi HDD market has been segmented into oil & gas extraction, utility, telecommunication, and others. The oil & gas extraction segment held the largest revenue share of 35% in 2023. This growth is attributed to the application of HDD in oil and gas exploration and production from onshore fields for various exploration and production activities carried out in the region. The presence of extensive unconventional resources in North America has boosted the demand for HDD in the oil & gas extraction process.

In January 2023, the Mexican Treasury announced an investment of USD 20 billion in oil exploration and production through its state-owned oil production company, Pemex. Substantial government investment in oil & gas exploration and production over the forecast period is expected to result in a surge in drilling activity in Mexico over the coming years.

Telecommunication held the second-largest revenue share in 2023. Increasing adoption of work-from-home culture and remote learning post-COVID-19 have prompted the installation of optical fiber projects in North America. These factors have attracted several investors in the telecommunication industry in the region.

Application Insights

The offshore segment held the largest revenue share of 69% in 2023, owing to the increasing exploration and production of oil and gas from offshore fields. For sustainable development in the future, it is expected to drive the need for horizontal directional drilling. For instance, on May 1, 2023, QatarEnergy announced an expansion in its offshore oil exploration activities, which necessitated the demand for HDD machines in Canada in collaboration with Exxon Mobil Corporation.

Application of HDD machines for oil and gas exploration & production in onshore fields held the second largest share, as many E&P activities are being carried out in the onshore fields compared to that in offshore. The presence of extensive unconventional resources in onshore fields in North America is expected to boost the demand for HDD in the onshore segment.

Who are the Top Manufactures in North America Mini and Midi Horizontal Directional Drilling Market?

• Barbco, Inc.
• Vermeer Corporation
• Direct Horizontal Drilling, Inc.
• The Charles Machines Works, Inc. (Ditch Witch)
• The Toro Company
• Horizontal Technology, Inc.
• Vision Directional Drilling
• Kondex Corporation U.S.A.
• Vmt Gmbh Gesellschaft Für Vermessungstechnik

North America Mini and Midi Horizontal Directional Drilling Market Segmentations:

By Machine Type 

• Utility Vibratory Plow
• Utility Tractor
• Pile Driver
• Foundation Machines
• Boring Machine
• Others

By Application 

• Onshore
• Offshore

By Machine Size 

• Mini
• Midi

By Parts Type 

• Rigs
• Pipes
• Bits
• Reamers

By Tooling 

• Transition Rods
• HDD Drill Rods
• HDD Paddle Bits
• HDD Drive Collars, Chucks, and Subs
• HDD Swivels & Pulling Equipment
• Others

By End-use 

• Oil & Gas Extraction
• Utility
• Telecommunication
• Others