Oil and gas companies are among the fastest-growing sectors in the United States, with their share of GDP expected to more than double over the next 10 years.
They are already the largest employer of US workers, with an estimated 1.5 million in 2016, according to the Bureau of Labor Statistics.
But they’re also one of the fastest growing industries in the world, and are on track to be a $60 trillion industry by 2030, according a new report from the International Monetary Fund (IMF).
The report is based on data from the IMF’s global economic forecast, and it finds that US oil and gas production is set to reach its peak in 2030.
“We can expect oil and natural gas companies to grow at an annualized rate of 5 percent over the course of the next five years,” IMF managing director Christine Lagarde said in a statement.
“The next decade could see significant growth in this sector.”
The report says that while the oil industry has grown at a slow pace, it’s still a significant sector with $18 trillion of global output.
The IMF expects oil and energy production to grow by almost 6 percent annually in 2030, up from 3.3 percent in 2025.
The sector is set for another boost in growth as the Trump administration takes action on climate change and its impact on the global economy.
The administration announced in February that the US will cut carbon emissions by 27 percent from 2005 levels by 2030.
The goal is to be “well below” 2 degrees Celsius of global warming by 2100, but Lagarde warned that the United Nations is unlikely to reach that target by the end of this century.
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By 2030, the IMF expects the US oil industry to be worth $4.5 trillion, or roughly 10 percent of global GDP, while the next largest oil and coal sector is oil and mining, worth $3.3 trillion.
Oil and natural resource extraction is forecast to account for nearly half of global economic output in 2030 with oil producing an estimated $5.6 trillion, followed by natural gas, at $2.4 trillion.
The IMF report estimates that the oil and chemical industries will create more than 1.8 million jobs and add $9 trillion to US GDP by 2030 and 1.4 million in 2025 alone.