Page 9 - ITAtube Journal 2 2022

Market information
of high energy consuming industries to lower-cost regions. The confidence to be able to compete on the world market with these additional costs in the future is dwindling among some pipe produc- ers. Vallourec, for example, recently announced the definitive closure of its traditional European plants in Saint- Saulve (F), Düsseldorf (D) and Mülheim (D). It remains to be seen to what extent the loss of these European quality-ori- ented plants can be compensated
for by other producers and whether further price increases for tubes can be expected as a result. In general, there is enough production capacity to serve even the increased demand for tubes and pipes for all market segments.
Raw material prices for the steel as well as the tube and pipe industry would seem to have peaked by the end of 2021. Energy costs, however, remain high
and climb even further due to market interventions (e.g. OPEC plus) and the geopolitical conflicts. Nonetheless, if the balance of supply and demand within the tubes and pipes industry can be restored, price volatility can be expected to calm down.
Tube plant infrastructure with respect to tube mills and finishing lines as well as digitalisation and applied quality assurance systems also plays a signifi- cant role. Growing importance can be attributed to agile management strate- gies regarding customer benefit, process and product quality enhancement as well as purchasing processes by applying “Industry 4.0” measures.
With an eye to the return to something like normal, it should be noted that plant builders and technology suppliers alike increasingly find interesting busi- ness opportunities in this new market segment. Some technology suppliers have already reacted and enhanced their product portfolio with the addition of digital solutions.
The International Tube Association organized several well attended webi-
ITAtube Journal June 2022
nars in 2020, 2021 and 2022 to keep the exchange within our industry ongoing. Some interesting applications of “Indus- try 4.0” in the tube and pipe industry were presented by various companies at the ITA netForum which was organized to substitute the cancelled TUBE 2020 in Düsseldorf. August 2021 new technolo- gies for the application of pipelines for hydrogen and in May 2022
“Engineered Tubes for the Automotive Industry” were successfully presented at the webinars organized by the ITA Indian chapter. The overwhelmingly positive response to these events is a sign of impressive optimism in our tube industry.
The increasing demand for green technologies creates further growth potential. The ITA together with Messe Düsseldorf have taken these develop- ments towards environmentally friendly and resource-saving green technology into account by organising so-called “ecoMetal Trails” at the Tube 22 trade fair. Exhibitors can present their innova- tive green technologies to an interested audience in special guided tours.
Global supply shortages, high energy costs and the continuing rise in inflation are major challenges for our industry. The industrial world is currently focused on compensating for the certainly lasting supply shortages caused by the sanc- tions imposed on Russia due to the Rus- sia-Ukraine war and the destruction of Ukraine’s supply structures.
In addition, the renewed lockdowns imposed by Corona in parts of China, espe- cially the region around Shanghai, have led to massive supply chain failures. Figure 1 clearly shows the massive congestion of transport ships off the coast of China.
Globally, goods worth about US$ 683 billion
are currently stuck on unmoving container
and transport ships, equivalent to about
0.72% of global GDP in 2021. As you can
see in Figure 1, the congestion is improv- 9 ing. Anyhow experts fear that even after