From 2013 to 2023, the length of oil products pipelines in the U.S. showed a consistent upward trend, increasing from 87.45 thousand lane miles to 93.13 thousand lane miles. This growth, characterized by fluctuating year-on-year percentages, averaged a compound annual growth rate (CAGR) of 0.47% in the last five years prior to 2024. The highest yearly increase occurred in 2014 at 2.53%, while the lowest was in 2015 with a slight decrease of -0.11%. Over the last two years, the year-on-year percentage increase reduced to around 0.45%-0.46%, indicating a steady but slower growth rate.
Looking ahead, forecasts for 2024 and beyond suggest a continuation of this gradual increase, with the pipeline length expected to reach 95.09 thousand lane miles by 2028. This represents a forecasted 5-year CAGR of 0.33%, slightly lower than the historical average, showing a modest projected annual growth rate of 1.66% over the next five years.
Future trends to watch for include advancements in pipeline technology, regulatory changes, shifts in oil demand and production, and possible expansions or constraints related to environmental policies. These factors could significantly influence the growth trajectory and operational efficiency of the U.S. oil products pipeline network.
