End-Use Market Dynamics Influence Demand for Electric Resistance Welded Pipes, According to New Report by Global Industry Analysts, Inc.
San Jose, California (PRWEB) August 14, 2013 -- Follow us on LinkedIn – Global demand for Electric Resistance Welded (ERW) pipes closely mirrors the trends in oil & gas and construction industry and is also influenced by the pace of infrastructure development projects. While the oil & gas industry is the main demand determinant of ERW pipes market, tubes intended for mechanical engineering and automobile sectors are also directly linked to the health of the economy. Though the year 2011 recorded increased demand globally, growth slowed down in 2012 due to reduced orders from construction, automotive, and mechanical engineering sectors. Energy sector was the only end-use segment to offer some relief for steel tubes. Future demand for ERW line pipes will be driven by the pipeline projects of major oil & gas, fertilizer and power companies. Increasing investments in onshore and offshore pipeline projects, primarily in Asia, Eastern Europe, FSU and North America, bode well for the market. In the energy sector, shale gas exploration projects are stimulating demand for additional pipeline networks across the world. ERW pipes market is also expected to benefit from the rising investments in sectors such as power generation and automotive and increasing government investments in infrastructure projects such as water and sewage systems.
As stated by the new market research report on Electric Resistance Welded Pipes, Asia-Pacific represents the largest and the fastest growing regional market worldwide. High economic growth of Asian countries, increased activity in end-use sectors, and rising investments in building pipeline networks are expected to spur demand in the region. In addition, demand is on the rise from automobile, home appliances, motorcycles, and construction materials markets led primarily by rising personal incomes. China, among the leading regional markets, is likely to register increase in pipe consumption driven by increasing domestic requirements. India is witnessing increased investments from public and private sectors in developing pipeline infrastructure for domestic gas distribution, water supply and irrigation. Growth in North America will emerge largely from the enhanced focus on developing shale gas reserves for ensuring energy security. In the United States, for instance, strong demand potential exists for oil country tubular goods (OCTG) and structural tubes, owing to the new offshore drilling and exploration activity, additions and repairs of the existing pipelines, and development of pipelines for petrochemical transmission.
Mechanical Steel Tubing represents the largest segment in the ERW pipes market. Growth across the segment is led by improving consumer confidence across major end-use markets including automotive, oil and natural gas tooling, construction equipment, and farm machinery. However, demand for mechanical tubing has weakened in recent times amidst European debt crisis, increasing US debt, and volatility in the Middle East region. Oil Country Tubular Goods (OCTG) represents the fastest growing segment benefiting largely from the explosive growth in oil and gas E&P activity. In the coming years, demand is forecast to be strong for high-grade OCTG products owing to the enhanced focus on drilling operations in harsh environments and the continuous shift towards directional drilling projects.
Major players covered in the report include Al Jazeera Steel Products Company SAOG, Arabian Pipes Company, ArcelorMittal SA, ChelPipe, EVRAZ North America, JFE Steel Corporation, Maharashtra Seamless Limited, Nippon Steel & Sumitomo Metal Corporation, Northwest Pipe Company, OAO TMK, PT Bakrie Pipe Industries, Salzgitter Mannesmann Line Pipe GmbH, Tata Steel Europe, Techint Group SpA, United States Steel Corporation, United Metallurgical Company /OMK, Welspun Corp Ltd., and Wheatland Tube Company.
The research report titled “Electric Resistance Welded Pipes: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, and strategic industry activities. The report provides market estimates and projections for major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia and Rest of Europe), Asia-Pacific (China and Rest of Asia-Pacific), Middle East & Africa, and Latin America.
For more details about this comprehensive market research report, please visit –
http://www.strategyr.com/Electric_Resistance_Welded_Pipes_Market_Report.asp .
About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.
Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
Web Site: http://www.StrategyR.com/
###
Public Relations, Global Industry Analysts, Inc., http://www.StrategyR.com/, 408-528-9966, [email protected]
Share this article