Global Coated Carbon Steel Pipe Market - 2024-2031

Overview

Global Coated Carbon Steel Pipe Market reached US$ 1.2 billion in 2023 and is expected to reach US$ 3.8 billion by 2031, growing with a CAGR of 15.5% during the forecast period 2024-2031.

The market for coated carbon steel pipes is mostly driven by the expansion of the energy industry, which includes oil and gas development. The need for dependable and long-lasting pipeline infrastructure is fueled by the growing demand for energy globally. The pipelines are vital for the transportation of oil, gas and other energy resources.

Infrastructure development initiatives are a major driving force behind the global demand for coated carbon steel pipes. The need for coated carbon steel pipes is increased by the need to utilize robust, corrosion-resistant pipes in the construction of new buildings, bridges and transportation networks.

Asia-Pacific is among the growing regions in the global coated carbon steel pipe market covering more than 1/3rd of the market. There is an increase in infrastructure development in the Asia-Pacific, encompassing manufacturing plants, energy facilities and transportation networks. The projects depend heavily on coated carbon steel pipes to enable the movement of gases and liquids necessary for the development of infrastructure.

Dynamics

Expanding Infrastructure Projects & Development

The expanding infrastructure development and urbanization projects globally are one of the main factors driving the coated carbon steel pipe market. Oil, gas and water pipelines, among other uses, have a significant need for coated carbon steel pipes as nations work to construct resilient infrastructure and improve their urban situations. The pipes are crucial parts of many building projects because of their strength, resistance to corrosion and structural integrity.

For Instance, in May 2021, Numaligarh Refinery Limited (NRL), located in Assam, acquired coated carbon steel line pipes for its refinery expansion project. The move is per the Indian government's "Hydrocarbon Vision 2031" policy towards the northeast area. With the project finished by 2024, the refinery's capacity will increase from three to nine million metric tons per year. The significance of robust infrastructure in bolstering strategic endeavors is underscored by this acquisition.

Technological Developments in Coating Innovations

The global market for coated carbon steel pipes is mostly driven by technological developments in coating methods. The corrosion resistance and longevity of carbon steel pipes are improved by ongoing advancements in coating materials, such as polyethylene and fusion-bonded epoxy (FBE). The improvements increase the pipes' longevity and enable them to be used in more applications, even ones with challenging operating conditions.

For Instance, in 2023, The world leader in mining and steel, ArcelorMittal, has introduced a cutting-edge range of steel tubes with reduced carbon emissions. The tubes have one of the greatest CO2 equivalent reduction rates in the steel tube business, an amazing 75%, thanks to their construction from steel that is sourced responsibly and recycled using XCarb. Customers may support the Paris climate targets and the European Green Deal, decrease their project's global CO2 impact and line with their decarbonization aims by choosing these eco-friendly steel tubes.

Stringent Environmental Regulations

The market for coated carbon steel pipes is also significantly constrained by the tightening environmental laws. Chemicals and solvents are often used in coating procedures, such as the application of fusion-bonded epoxy (FBE) or other protective coatings on carbon steel pipes. Manufacturers find it difficult to maintain compliance with strict environmental norms and laws on emissions, waste disposal and the use of hazardous materials.

Costs of manufacturing may go up if more money is spent on sustainable technology and procedures to comply with these standards. Businesses in the coated carbon steel pipe market must strike a balance between adhering to environmental standards and remaining cost-effective as governments across the world step up efforts to lessen the environmental impact of industrial activity.

The price fluctuation of raw materials is one major factor limiting the globally market for coated carbon steel pipes. Steel is the main product used in the manufacturing of coated carbon steel pipes and variations in steel prices may affect the total cost of production. Effective cost prediction and management of production is a challenge for manufacturers due to the volatility of raw material prices.

In addition, this may impact the cost of coated carbon steel pipes, posing an issue for businesses trying to sustain consistent profit margins. The global economy, trade regulations and geopolitical events are some of the variables that impact the steel industry. As a result, producers have difficulties in controlling the cost of producing coated carbon steel pipes, which affects the market's potential for growth.

Segment Analysis

The global coated carbon steel pipe market is segmented based on type, application, end-user and region.

Increasing Demand for Dependable Infrastructure Including Epoxy Coated Carbon Steel Pipe

The epoxy coated carbon steel pipe segment is among the growing regions in the global coated carbon steel pipe market covering more than 1/3rd of the market. The market for quantum computing is expanding significantly globally; epoxy-coated carbon steel pipes are essential to this growth. The increasing demand across sectors for quantum computers for research, simulations and complicated problem solutions.

The demand for sophisticated and dependable infrastructure including epoxy-coated carbon steel pipes increases as businesses and universities make significant investments in quantum computing technology. The pipes are crucial to the cooling systems of quantum computers because they offer a strong, anti-corrosion way to handle the high temperatures involved in quantum computing activities.

Geographical Penetration

Growing Construction Activity and Infrastructure Projects in Asia-Pacific

Asia-Pacific has been a dominant force in the global coated carbon steel pipe market. The Asia-Pacific coated carbon steel pipe market is expanding as a result of the fast industrialization and urbanization of countries like China and India, which have increased construction activity and raised the demand for coated carbon steel pipes in a variety of infrastructure projects.

The market is growing because these pipes are required for applications in oil and gas transportation, water supply and other industrial operations. Furthermore, the demand is being further fueled by the increased knowledge and use of new coating methods for carbon steel pipes, such as polyethylene and fusion-bonded epoxy (FBE), which improve the pipes' durability and resistance to corrosion.

For Instance, in 2023, Indraprastha Gas Limited (IGL) placed an order with Surya Roshni Ltd for the delivery of 3LPE coated carbon steel pipes for City Gas Distribution (CGD) projects in the National Capital Territory (NCT) of Delhi, valued at ₹43.69 crore (including GST). The total order amount, excluding GST, was ₹62.23 crore from Maharashtra Natural Gas Limited (MNGL) and Indian Oil Corporation Limited (IOCL) in May 2023. The included orders from Rajasthan, Uttar Pradesh, Haryana and other countries.

Additionally, there is an increase in energy and power-generating projects in the Asia-Pacific, including the construction of pipelines for the transportation of gas and oil. In the energy sector, coated carbon steel pipes are essential for maintaining the use and integrity of these pipelines. The Asia-Pacific coated carbon steel pipe market has grown generally as a result of government modifications and expansions of infrastructure, as well as positive economic factors.

COVID-19 Impact Analysis

The global market for coated carbon steel pipes has been greatly impacted by the COVID-19 outbreak in some ways. The first epidemic significantly reduced the market for coated carbon steel pipes by generating extensive disruptions in supply chains and industrial and building operations. Lockdowns, social distancing policies and labor shortages hindered building and manufacturing, which had an impact on the total amount of steel pipes used in various industries.

The market for coated carbon steel pipes was further impacted by the postponement or cancellation of infrastructure projects due to the unpredictability surrounding the pandemic. Due to the pandemic's disruption of the world's raw material supply chain, there were shortages and price increases. Lockdowns and labor shortages caused manufacturing facilities to have operating difficulties, which delayed the timely delivery of coated carbon steel pipes.

Furthermore, the supply chain experienced delays as a result of travel restrictions and logistical bottlenecks that impeded the movement of commodities. Consequently, several enterprises operating in the coated carbon steel pipe industry had to maneuver through difficult terrain of diminished demand and disturbances in the supply chain.

The need for coated carbon steel pipes in the construction and other sectors was fueled by stimulus packages and infrastructure development projects launched by governments throughout the globe to promote economic growth. To meet the challenges presented by the pandemic, the sector showed resilience by embracing digital technology, putting safety standards in place and adjusting to new norms.

Russia-Ukraine War Impact Analysis

The global market for coated carbon steel pipes has been significantly impacted by the war between Russia and Ukraine. Major participants in the steel sector, both nations are now engaged in a conflict that has interrupted the supply chain, resulting in a shortage of raw materials that has repercussions for the whole global market.

In addition to creating a turbulent geopolitical climate, the unpredictability of the battle has affected investor confidence and driven up and down steel prices. Because of this, producers and dealers in the coated carbon steel pipe market are having difficulties with pricing, manufacturing and sourcing, which eventually affects the industry's stability as a whole.

The market for coated carbon steel pipe is further challenged by the trade restrictions and sanctions brought about by geopolitical tensions. Logistics of the supply chain have become more complicated due to import and export restrictions between Russia and other nations as well as possible interruptions to important transit routes. Furthermore, the price dynamics of coated carbon steel pipes internationally have been impacted by the region's unstable economy and shifting currency values, making it challenging for enterprises to forecast and make long-term plans.

By Type

• FBE (Fusion Bond Epoxy) Coated Pipe
• Epoxy Coated Carbon Steel Pipe
• PE Coated Pipe
• 2PE Coated Pipe
• 3PE Coated Pipe
• PP Coated Pipe
• Others

By Application

• Natural Gas
• Petroleum
• Water & Sewege
• Pipe Systems
• Others

By End-User

• Oil and Gas
• Chemicals
• Water Treatment
• Construction
• Automotive
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• On November 30, 2023, Tenaris, a steel tube manufacturer located in Luxembourg, acquired US$182.6 million to acquire Mattr's pipe coating business unit. Nine sites spread across US, Canada, Mexico, Norway, Indonesia and United Arab Emirates are part of the purchased company. Tenaris also acquires access to a variety of goods and intellectual property, as well as research and development facilities in Canada and Norway.

Competitive Landscape

The major global players in the market include Nippon Steel Corporation, Tenaris S.A., United Steel Industry Co., Ltd, Hunan Prime Steel Pipe Co., Ltd, JFE Steel Corporation, Vallourec, Arabian Pipes Company, Borusan Mannesmann, American SpiralWeld Pipe Company and Aesteiron Steels LLP.

Why Purchase the Report?

• to visualize the global coated carbon steel pipe market segmentation based on type, Application, end-user and region and understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of coated carbon steel pipe market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Application mapping available as Excel consisting of key Applications of all the major players.

The global coated carbon steel pipe market report would provide approximately 62 tables, 61 figures and 183 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies