Pipe production in 8 months grow by 0.6%

In 2019, the pipe production businesses increased their output as compared to the corresponding period in 2018 by 0.6%, up to 738.5 thousand tons. In August, the industry produced 75.8 tons of pipes. This data is courtesy of Leonid Ksaverchuk, the Ukrtruboprom Association Director General, who has shared it with GMK Center.

“Volumes of pipes released as recorded over time vary from business to business dramatically”, Leonid Ksaverchuk provides further details.

Production volumes of the businesses covered by the Association have dropped by 1.2%, to 539.2 thousand tons. The August output amounted to 53.7 thousand tons. Pipe production volumes of the Nyzhnyodniprovskyi Tube Rolling Plant, part of the Interpipe Group, dropped by almost 14% to 170.6 thousand tons, Trubostal dropped by 15% to 1.7 thousand tons.

Pipe production volumes of the Novomoskovskyi Pipe Plant (Interpipe) increased by 4.8% to 76.9 thousand tons, Interpipe Niko Tube increased by 4.7% to 259.9 thousand tons, and the Dnipropetrovsk Pipe Plant increased by 32.2% to 15.6 thousand tons.

The plants that the Ukrtruboprom does not include also have failed to display stability. Ilyich Iron and Steel Works production volumes in 8 months increased by 31.9% to 101.8 thousand tons, Centravis increased by 12.4% to 14.5 thousand tons of stainless steel pipes, and Kominmet dropped by 11.8% to 97.5 thousand tons. That being said, the share held by Ilyich Iron and Steel Works in their total production is as low as 4%.

The plants operated within the Ukrtruboprom contribute a lion’s share of pipes produced in Ukraine, and Mr. Ksaverchuk attributes their rather sluggish performance recorded to the lack of a sales market meeting their capacities. Russia used to account for 50% of Ukraine’s pipe exports. However, according to Mr. Ksaverchuk, the businesses keep reaching that destination, for instance, by shipping via Belarus.

Besides, the import duties introduced by the USA have reduced the European Union exports, and the same restricted Ukraine’s shipments to both of the markets. In addition, the expert observes that the suppliers of Chinese pipes and other made-in-China goods have become much more active on the world market.

“Ukraine’s domestic consumption has also dropped. You do not apply a pipe a day, you just have it installed, and installed it remains for 30 years, — Ksaverchuk continues. — It is the construction that generates demand for the pipes. However, the construction of living premises now survives without any steel pipes installed. In its turn, machine-building that also needs pipework is not developing, infrastructure of the utilities is not renovating, and this country has virtually no oil and gas industry that a Ukrainian plant product range is actually designed to support.”

The performance the pipe industry displays is rather steady, though. This is the conclusion made by the Ukrtruboprom Director General. The businesses involved are looking for export markets.

  • Global Market

Middle East billet producers suffer losses due to falling demand

In the first half of April, bids for commercial billets in the Gulf Council countries…

Saturday April 19, 2025
  • Infrastructure

China will continue to build coal-fired power plants until 2027

China plans to continue building coal-fired power plants until 2027 in regions where they are…

Saturday April 19, 2025
  • Global Market

Italy reduced rolled steel exports by 12% y/y in January

In January 2025, Italian steel enterprises reduced exports of rolled steel products to third countries…

Saturday April 19, 2025
  • Companies

Emsteel increased spending on innovation and investment by 127% in 2020-2024

Emsteel, one of the largest publicly traded steel and building materials producers in the Gulf…

Saturday April 19, 2025
  • Companies

Ferrexpo maintains capital expenditures at $102 mln in 2024

In 2024 capital expenditures of Ferrexpo, the London-listed iron ore producer with operations in Ukraine,…

Friday April 18, 2025
  • Global Market

European prices for hot rolled coils increased in the first half of April

Prices for hot-rolled coils in the Nordic region rose by €10/t in the first half…

Friday April 18, 2025