The recovery trend is expected to continue in 2024

In 2023, the global production of pipes increased by 15% compared to 2022 – to about 170 million tons. This is evidenced by the previous data of International Pipe Producers Association (ITA).

«After a slight decline in 2022, global pipe production recovered. As expected, the upward trend will continue in 2024. Forecasts for the current year are encouraging,» the association notes.

At the same time, there are significant regional differences and diverse trends. In the US, pipe production for 2023 is expected to increase by 18% compared to 2022. Significant growth was observed in all product segments thanks to a favorable economic environment.

China, which accounts for more than 50% of global pipe production, grew by 13% y/y, significantly more than expected. In India, uneven production development was observed, with a decline of 22% in the first half of the year, but already in the second half of the year, indicators recovered and the overall annual growth is estimated at 12% y/y.

Europe lost a significant part of its production capacity in the second half of 2023 due to the shutdown by Vallourec of its main European plants. Amid this, some pipe consumers are having problems finding alternative suppliers.

In the CIS, the production of pipe products increased by 77% y/y, most likely by replacing Russian imports with local production. Contrary to this trend, the production of welded pipes with an outer diameter of less than 406 mm fell by 24% y/y.

As GMK Center reported earlier, the pipe producers of Ukraine in 2023 reduced the export of products by 11.8% compared to 2022 – to 356.35 thousand tons. The main consumers of Ukrainian-made pipes are Germany, the USA, Romania and Poland.

The main pipe producers in Ukraine are Interpipe NIKO TUBE LLC, Interpipe NTZ, Interpipe NMTZ, Trubostal, Centravis, Dnipro Pipe Plant, Slavsant.