MRC Global InSight

International

Across our International segment, there is evidence of an impending recovery. As COVID-19 restrictions are carefully lifted, MRO and project activities are slowly increasing. The energy market is also inflationary with a recent large spike in gas prices and a higher price of Brent crude.

Extraordinary rises in freight costs, due to shortages of containers and delivery providers, coupled with raw material increases of steel products in Europe and Asia are driving inflation across all PVF products. The lack of supply of transportation and some residual COVID-19 restrictions are also causing some lead time delays and impacting project deliveries from European manufacturers.


Energy Transition projects are becoming prevalent in all regions. In particular, Europe appears to be leading the move towards low carbon projects.


Energy Transition projects are becoming prevalent in all regions. In particular, Europe appears to be leading the move towards low carbon projects. European IOCs were early movers to make “carbon neutral” statements and there is evidence in their CAPEX budgets of these commitments. Divestment of heritage assets and conversion of traditional brownfield project CAPEX to green technology projects reflects the accelerating energy transition. In Norway there is also government stimulus to encourage low carbon projects.