Mexico Drilling Equipment Market

Mexico Drilling Equipment Market Overview:

The Mexico drilling equipment market size reached USD 133.64 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 198.25 Million by 2033, exhibiting a growth rate (CAGR) of 4.48% during 2025-2033. The market is driven by the increased oil and gas exploration activities, supported by regulatory changes and investment opportunities. Technological advancements in drilling equipment further optimize efficiency, reducing costs and enhancing operational safety and fuel the market. Government policies favoring foreign investment and energy reforms ensure a robust market demand, further augmenting the Mexico drilling equipment market share.

Mexico Drilling Equipment Market Trends:

Increased Oil and Gas Exploration Activities

The continuous demand for energy sources has driven oil and gas exploration, especially in emerging markets like Mexico. As a country with substantial untapped reserves, Mexico is attracting significant investments in exploration activities. This is primarily due to the government’s efforts to open up the energy sector and create favorable conditions for foreign investors. With improved regulatory frameworks, the number of offshore and onshore drilling projects is on the rise. Oil and gas exploration demands advanced and reliable equipment, which in turn contributes to the Mexico drilling equipment market growth. These projects, often in remote or deepwater areas, necessitate specialized machinery that can handle the challenges posed by harsh environments. The adoption of state-of-the-art technologies has significantly altered the performance and efficiency of drilling operations. Equipment that offers automation, real-time monitoring, and data analytics is becoming indispensable for maximizing operational efficiency while minimizing costs. Mexico's energy companies are increasingly turning to these advanced solutions, which enable faster drilling, enhanced safety measures, and better management of resources. In particular, automated drilling rigs and robotics reduce the human error factor and increase the precision of operations, making them ideal for both onshore and offshore drilling. On March 11, 2024, Epiroc secured a significant mining equipment order from Dumas Contracting Ltd., a Canadian mining services provider, for its operations in northern Mexico. The order, valued at approximately MSEK 200 (USD 19.2 Million), includes a variety of rigs for drilling and rock reinforcement, and loaders and mine trucks for a silver mine. Epiroc will also supply spare parts, technical services, and digital solutions, continuing its long-standing partnership with Dumas to enhance safety and productivity in Mexico's mining sector. As exploration continues to be a priority, this trend will strengthen, contributing significantly to the market’s progress in the region.

Government Policies and Foreign Investment

Mexico's energy sector has witnessed a transformation in recent years due to significant changes in government policies. Following the 2013 energy reforms, the country has opened its doors to foreign investments, particularly in oil and gas exploration. These changes have encouraged multinational corporations to set up operations in the country, thus increasing the need for advanced drilling equipment. The government is actively supporting the development of infrastructure, particularly in the offshore sector, where Mexico’s deepwater reserves remain largely untapped. On February 27, 2025, Pemex, Mexico’s state oil company, announced an optimistic plan to bring back suspended drilling rigs by the second half of 2025, aiming to revitalize its crude oil and natural gas production. Despite facing a significant financial debt exceeding USD 100 Billion, Pemex is making strides in normalizing contractor payments, valued at USD 25 Billion, with positive developments expected throughout 2025. The anticipated reactivation of 12 suspended rigs, which impacted drilling operations in late 2024, signals a strong recovery, promising to boost Mexico’s drilling equipment market and industry outlook. Technological innovation backed by the government remains a pivotal factor for the market. The incorporation of such technologies is aligned with industry goals for safety and sustainability, addressing concerns such as environmental impact and resource optimization. As Mexican energy companies adopt more innovative technologies, the demand for next-generation drilling equipment continues to rise, further supporting the market's upward trajectory. Furthermore, the country’s strategic location and access to global markets make it an attractive investment hub. As oil and gas extraction projects proliferate, the demand for drilling equipment, including rigs, pumps, and other essential tools, continues to expand. These policy changes have been instrumental in facilitating new drilling ventures and fostering international partnerships, making them a critical element in the growth of the market.

Mexico Drilling Equipment Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on type, category, power source, mount type, distribution channel, and end-use.

Type Insights:

• Drawworks
• Traveling Blocks
• Coiled Tubing
• Drilling Instrumentation
• Drilling Generators
• Wireline Equipment
• Completion Tools
• Oil Tools
• Pipe Handling Systems
• Others

The report has provided a detailed breakup and analysis of the market based on the type. This includes drawworks, traveling blocks, coiled tubing, drilling instrumentation, drilling generators, wireline equipment, completion tools, oil tools, pipe handling systems, and others.

Category Insights:

• Automatic
• Manual

The report has provided a detailed breakup and analysis of the market based on the category. This includes automatic and manual.

Power Source Insights:

• Electric
• Non-Electric

The report has provided a detailed breakup and analysis of the market based on the power source. This includes electric and non-electric.

Mount Type Insights:

• Truck Mounted
• Trailer Mounted

The report has provided a detailed breakup and analysis of the market based on the mount type. This includes truck mounted and trailer mounted.

Distribution Channel Insights:

• Direct Sales
• Indirect Sales

The report has provided a detailed breakup and analysis of the market based on the distribution channel. This includes direct sales and indirect sales.

End-Use Insights:

• Construction
• Oil and Gas
• Mining
• Water Management
• Others

The report has provided a detailed breakup and analysis of the market based on the end-use. This includes construction, oil and gas, mining, water management, and others.

Regional Insights:

• Northern Mexico
• Central Mexico
• Southern Mexico
• Others

The report has also provided a comprehensive analysis of all major regional markets. This includes Northern Mexico, Central Mexico, Southern Mexico, and others.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Mexico Drilling Equipment Market News:

• On May 1, 2025, Woodside Energy confirmed that all major drilling and construction contracts for the Trion Field development offshore Mexico have been issued, marking significant progress toward first oil in 2028. The project, located 180 km off Mexico's coast at a depth of 2,500 meters, is moving forward with fabrication underway for floating production units and a floating storage offloading vessel at international shipyards in South Korea and China. Development drilling is set to begin in Q1 2026, with 18 ultradeepwater wells to be drilled over three years, supported by SLB for subsea equipment and Transocean's Deepwater Thalassa for drilling operations.
• On January 29, 2025, Sandvik launched the Sandvik DD312i, an advanced intelligent, compact, and automated single-boom underground drill, designed to enhance productivity in medium-to-large underground drifts. The drill is equipped with a new intelligent control system offering optimized drilling torque, resulting in up to 50% improved drilling accuracy, 26% more coverage, and 20% increased productivity when paired with Sandvik’s automation packages. Field testing at La Cantera in Mexico revealed a 28% increase in total productivity, with significant savings on tools and consumables, solidifying the Sandvik DD312i as a key innovation for the underground mining sector.

Mexico Drilling Equipment Market Report Coverage:

Key Questions Answered in This Report:

• How has the Mexico drilling equipment market performed so far and how will it perform in the coming years?
• What is the breakup of the Mexico drilling equipment market on the basis of type?
• What is the breakup of the Mexico drilling equipment market on the basis of category?
• What is the breakup of the Mexico drilling equipment market on the basis of power source?
• What is the breakup of the Mexico drilling equipment market on the basis of mount type?
• What is the breakup of the Mexico drilling equipment market on the basis of distribution channel?
• What is the breakup of the Mexico drilling equipment market on the basis of end-use?
• What is the breakup of the Mexico drilling equipment market on the basis of region?
• What are the various stages in the value chain of the Mexico drilling equipment market? 
• What are the key driving factors and challenges in the Mexico drilling equipment market?
• What is the structure of the Mexico drilling equipment market and who are the key players?
• What is the degree of competition in the Mexico drilling equipment market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Mexico drilling equipment market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Mexico drilling equipment market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Mexico drilling equipment industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.