The Saudi Arabia seamless steel pipes & tubes are valued at US$ XX Million in 2021 and are estimated to grow at a CAGR of XX% over the forecast period to reach US$ XX Million by 2029.
Saudi Arabia is one the fastest growing countries in the Middle-East region through the establishment of new production plants for various business units to meet the ongoing demand from the middle-east and African regions. The demand for oil country tubular goods (OCTG) and line pipes in Saudi Arabia are expected to remain strong in the next five years supported by the development of oil and gas drilling and infrastructure. Increasing establishments of new production plants in the chemical, food processing, and automotive across the country coupled with rising the utilization of seamless steel in construction activities are major factors driving the Saudi Arabia seamless steel pipes & tubes market during the forecast period. In June 2019, UK-based chemical firm Ineos invested USD 2 billion to establish a new production plant in Saudi Arabia at Jubail 2 petrochemical complex.
The key players operating in the Saudi Arabia seamless steel pipes & tubes market include Santok Steel Corporation, Al Ashrak Group, Victor Steel Corporation, and Metline Industries, among many others. The global seamless steel and steel companies are focusing on improving their presence in industrially developing countries such as Saudi Arabia through the acquisition of a majority of stake in the company. In February 2019, Tenaris S.A. acquired a substantial stake in the Saudi Steel Pipe Company ( a major producer of welded pipe in Saudi Arabia) to increase its industry fourfold in the country.
Saudi Arabia has two seamless pipe mills (Arcelor Mittal and JESCO) with a combined theoretical capacity of 1 million tonnes, and with the possibility of a third seamless tubing mill – from the Gulf Tubing Company - in planning it may be hard for local producers to expand regional market share. While national oil companies in the GCC, such as Saudi Aramco, Qatar’s RasGas, the UAE’s Adnoc, and British Petroleum in Oman, are increasing drilling in sour gas fields. This creates a growing demand for seamless steel pipes over the next five years, which may create opportunities for local, small-capacity production or finishing facilities to increase higher alloy-grade output.
