Dropping World UOE Line Pipe Demand

World demand of UOE large diameter welded pipe for natural pipeline decreases sharply under the global economy downturn. One market source says PTT Public Company in Thailand determined to delay the construction of pipeline from eastern Thailand to the inner city, which is estimated to consume 163,000 tonnes of UOE pipe, when the natural gas demand for industries decreased in the inland of Thailand. This delay would impacts on not only the UOE pipe demand but also the material of plate steel demand.

The pipeline is planned to construct from Map Ta Phut industrial park to Saraburi. The project would consume 163,000 tonnes of UOE pipe with X70 grade of American Petroleum Institute and 42 inches diameter. But PTT noticed the delay to concerned parties, according to an industry source.

The delay of the project, which is one of the 2 major UOE pipe using projects including second phase of West-East gas pipeline project in China, could impact severely on the world UOE pipe demand. Many Japanese pipe makers foresee firm UOE pipe shipment would decrease in April-June when the period is quiet period for pipeline projects.