Hoberg & Driesch acquires a stake in Salzgitter’s pipe business

Düsseldorf-based Hoberg & Driesch Röhrengruppe, one of Europe’s leading steel pipe distributors, has reached an agreement with Salzgitter Mannesmann Stahlhandel GmbH to acquire part of the latter’s pipe business in Germany. The agreement covers seamless heavy-wall pipes and precision steel pipes, according to a press release.

The deal will allow Hoberg & Driesch to strengthen its market position and expand its product range. Representatives of both companies call this step strategically important. By transferring the pipe business to Salzgitter Mannesmann Stahlhandel, the company will be able to focus on other key business segments.

“This is a logical step in the context of market changes. We are pleased to ensure a smooth transition for Salzgitter Mannesmann Stahlhandel’s customers and to expand our offer,” said Hans-Jörg Westendorf, CEO of Hoberg & Driesch Röhrengruppe.

Dr. Sebastian Bros, a member of Salzgitter’s management team, added that the company is focusing on its core competencies.

“The partnership with Hoberg & Driesch ensures an optimal business organization for both Mannesmann Precision Tubes GmbH and our warehouse segment. This increases efficiency and benefits all parties,” he added.

The integration of the assets will take place in stages over the coming weeks. Customers will have access to a wider product range, increased production capacity and the expertise of both companies. This agreement confirms Hoberg & Driesch’s commitment to growth and strengthens its position as a key player in the European steel pipe market.

According to the European steel association EUROFER, pipe production in the European Union is expected to grow by 0.3% y/y in 2025 after falling by 3% in 2024. Expectations for 2026 include a 1.2% y/y increase in production.

In the long term, demand for large welded pipes is expected to remain low due to the EU’s transition to LNG and reduced investment in oil projects amid geopolitical instability. The construction sector will also not contribute to production growth, while pipe consumption in the machine building and automotive industries will remain stable.