Blog - Algeria seamless steel pipes Market


DMI segments the Algeria seamless steel pipes Market By Material Type (Alloy Steel Pipes, Stainless Steel Pipe, Carbon Steel Pipes, Others), By Manufacturing Process (Hot Finished Seamless Pipes, Cold Finished Seamless Pipes), By Pressure (High Pressure, Medium Pressure, Low Pressure), By Diameter (Small diameter pipes, Large diameter pipes), By End-User (Oil and Gas Industry, Construction, Automotive, Power Industry, Chemical Industry, Aviation and Aerospace, Industrial Plant Processing, Others )

Algerian government is focusing on improving domestic steel production to meet the current local demand and impose heavy duties on the imported steel products to grow the domestic production activities. 

Lack of availability of sufficient seamless steel pipes & tubes production facilities across the country led the respective end-user to depend over imports from neighboring countries of Europe.

According to the study published in Trend Economy, the annual imports of cold-reduced stainless, steel tubes & pipes increased from 2,599 thousand tones in 2015 to 6.48 thousand tones in 2016.  

Increasing utilization of seamless steel pipe and tubes in the various manufacturing plants and automotive components coupled with rise in sales of automotive vehicles across the region is expected to boost the sales of seamless steel pipes & tubes across Alegria during the forecast period 2020-2027. 

Algeria, is one of the most dominating countries in the production of oil. The annual acreage of olive groves across the country increased from 150,000 hectares to 500,000 hectares and the country is predicting to increase to 1million hectares. This might increase the new establishments of refineries for the establishments of processing facilities for olive oil and in turn producing huge demand for seamless steel pipes & tubes across Algeria.

ArcelorMittal is one of the major producers of seamless steel pipes in Algeria with integrated steelmaking and rolling facilities and an annual capacity of 115 thousand tons. 

COVID-19 Impact of Algeria Seamless Steel Pipes market

Covid-19 has affected the production activities across the country due to the stringent government measures to control the spread of the virus across the communities.

Coronavirus, huge dip in the oil prices and unstable government policies might affect the FDI in the country for various activities from manufacturing, drilling to food processing and in turn affecting the seamless steel pipes & tubes market during next two quarters.

Due to the ongoing COVID-19 lockdown majority of the construction, oil & gas drilling and development activities are under standstill and the above might affect the orders for seamless steel pipes during next one year.

Shift in government financial initiatives and policies to boost the economy of the country during these periods might stabilize the existing construction and development activities.

New Industrial investments across the Algeria

During the period 2017-2022, Algeria's state run oil producer Sonastrach is expected to invest 9 billion in identification for new wells and additional USD 50 billion in drilling of more than 100 wells on an average and its operations.

In February 2019, Nissan and Groupe Hasnaoui invested USD 160 million for the establishment of a new automotive production facility in algeria. 

In August 2018, Petrofac received a USD 600 million worth contract from Sonatrach for the Tinhert field development project.

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