Horizontal directional drilling market on track to reach $16 billion by 2030
(UI) — The global horizontal directional drilling (HDD) market is poised for rapid growth, driven by rising demand for trenchless construction across utility, energy and telecommunications projects. The market was valued at $8.18 billion in 2024 and is projected to nearly double to $16.08 billion by 2030, according to recent industry analysis, reflecting a compound annual growth rate of 11.6%.
North America remained the largest HDD market in 2024, accounting for roughly 34% of global activity, supported by infrastructure replacement programs, utility upgrades and fiber-optic network expansion. The United States continues to lead adoption as aging underground pipelines, power lines and communications systems require replacement with minimal surface disruption.
Boring machines dominated the market by equipment type, holding a 44% share in 2024, while conventional HDD technology remained the most widely used approach across utility and pipeline installations. By machine size, midi-class rigs led deployments, reflecting their versatility in urban and suburban utility projects.
Onshore applications accounted for more than three-quarters of HDD revenue, driven by widespread use in water and wastewater systems, oil and gas pipelines, power distribution and telecommunications infrastructure. The oil and gas sector remained the largest end-use segment, representing approximately 39% of total market share.
Market growth is being reinforced by advances in drilling technology, including real-time guidance systems, automation and improved rig efficiency, which are helping contractors reduce risk and improve accuracy in complex subsurface conditions. At the same time, expanding fiber-optic networks, renewable energy development and urban infrastructure modernization continue to create new demand for HDD solutions.
Despite strong momentum, the industry faces challenges tied to high upfront equipment costs, skilled labor requirements and difficult geotechnical conditions. Analysts note that continued investment in automation, workforce training and standardization will be critical to sustaining growth as HDD adoption expands globally.
Asia-Pacific is expected to be the fastest-growing regional market through 2030, while Europe continues to see steady demand tied to environmental regulations and urban utility upgrades.
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