Energy sector to drive demand for spiral welded pipes and tubes, according to new report by global industry analysts, inc.

GIA announces the release of a comprehensive global report on the Spiral Welded Pipes and Tubes markets. Global market for Spiral Welded Pipes and Tubes is projected to reach 24.6 million tons by 2018, driven by economic recovery, level of activity in the energy sector, and intensifying pipeline construction activity.

Spiral welded pipes market, though encountering overcapacity conditions particularly in North America, is expected to witness steady growth in the upcoming years driven by the implementation of new pipeline projects. Investments in oil and gas exploration and production, which are influenced by prevailing crude oil & gas prices, have a considerable impact on the demand for spiral welded pipes and tubes. Resurgent world economy and consequent increase in the demand for industrial natural gas is expected to drive up momentum of the spiral welded pipes market.

Global demand for spiral welded pipes, which are primarily used in the transportation of oil and gas and in water transportation projects, is closely linked to the investments in the energy sector. The energy sector makes use of spiral welded pipes with diameters of up to 60” and up to 80 feet in length. Another factor that is expected to fuel demand for spiral pipes and tubes is new pipeline construction activity due to the shift of population from traditional centers that would necessitate development of infrastructure for delivering oil and natural gas to the new locations. Demand for spiral welded pipes is also expected from the replacement market, as most of the existing pipeline infrastructure, particularly in developed regions, has reached their end of useful life. Structural applications of spiral welded pipes are also gaining momentum, specifically with additional activity occurring in port, offshore loading and infrastructure improvement sectors.

As stated by the new market research report on Spiral Welded Pipes and Tubes, Asia-Pacific represents the largest market worldwide, driven primarily by increased use in transporting natural gas. Besides Asia-Pacific, Latin America ranks among the fastest growing regional markets with compounded annual growth rate ranging between 7.5% and 9.0% over the review period. North American market, on the other hand, is encountering testing times owing to weak demand and overcapacity conditions. Oversupply is the major concern for spiral welded pipes market particularly with regard to large diameter double submerged arc welded or DSAW line pipes, which finds use in transmitting oil, natural gas liquids, and natural gas to consumers from drilling locations.

Despite the prevailing conditions, potential opportunities are expected primarily from the implementation of new pipeline projects in the upcoming years, resurgent growth of the US economy, and increased demand from natural gas exploration operations. Also, overcapacity conditions are expected to fade away in the coming years, as several megaprojects are set to be taken up across the world, particularly in regions such as Southeast Asia, Australia, Middle East, Africa, and West Asia.

Replacement of aging infrastructure offers huge potential for pipe manufacturers. The need to replace old pipelines is particular high in the US and Russia, where pipeline networks were mostly installed during the 60s and 70s. With the average lifespan of oil and gas transportation pipes ranging between 25 and 30 years, opportunities in the replacement market are huge, particularly for HSAW pipes. In the US, replacement demand holds enormous potential as a result of the recent enactment of the legislation that necessitates more inspections to be carried out, which could increase the likelihood of pipeline replacements. The Act is likely to play a critical role in enabling manufacturers of large diameter line pipes to survive the tough economic and overcapacity conditions.

Major players profiled in the report include American SpiralWeld Pipe Company LLC, ArcelorMittal SA, Borusan Mannesmann Boru Sanayi ve Ticaret A.S., Europipe GmbH, EVRAZ North America, JFE Steel Corporation, Jindal SAW Ltd., Man Industries Ltd., National Pipe Company Ltd., Nippon Steel & Sumitomo Metal Corporation, PSL Limited, Shengli Oil & Gas Pipe Holdings Limited, Stupp Corporation, Volzhsky Pipe Plant, UMW Group, and Welspun Corp Ltd.

The research report titled “Spiral Welded Pipes and Tubes: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections for all major geographic markets including 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, and Latin America.

For more details about this comprehensive market research report, please visit –
http://www.strategyr.com/Spiral_Welded_Pipes_and_Tubes_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.

Source :

http://www.prweb.com/releases/spiral_welded_pipes_tubes/DSAW_HSAW_pipes/prweb10402550.htm