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19 OCTOBER 2017 AL CIRCLE

US export of aluminium tubes and pipes expected to drop faster than import in 2017

EDITED BY : BEETHIKA BISWAS 3MINS READ

Tubes and pipes are two aluminium extruded products that have wide uses across a number of sectors. The most common aluminium alloys used for tubing and pipe are 2024, 3003, 5052, 6061, 7075. USA has a big demand for aluminium pipes and tubes which has a flourishing end use market in aerospace, automotive and industrial sector.  The US produces a good amount of extruded tubes and pipes and also imports a large amount from Asian countries for the domestic use.

Since recently the country is getting extra protective about imports of aluminium extrusions and rolled products and is on the verge of imposing anti-dumping duties on a number of aluminium products, it becomes imperative to assess how the country has fared in last two years in the foreign trade sector for these products. We are trying to analyse the export and import trends of aluminium tubes and pipes in 2016 and 2017 till date to understand how the country is moving.

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Data shows in the year 2016 the US imported about 23,792 tonnes of aluminium tube and pipes and the amount was 26,243 tonnes in 2015. We see a drop over a year. In the year 2017, the aluminium tubes and pipes import is forecasted to drop further to about 20,552 million tons.  The constant drop in import is driven by growing domestic aluminium consumption to manufacture value added aluminium products in the country. 

If we look at the export statistics, we see that the US exported 44,723 tonnes and 36,602 tonnes of aluminium tube and pipes in 2015 and 2016 respectively, registering a YoY drop.  In the year 2017, the aluminium tubes and pipes export is forecasted to drop further to about 30,689 tonnes. We see a drop in both export and import. However, the rate of decrease is more in case of export as the country has cut down a large number of unprofitable capacities affected by high production cost and cheaper import.

The revenue from export however is estimated to increase from USD 232 million in 2016 to USD 268 million in 2017. The cost of import is estimated to decrease from USD 162 million in 2016 to USD 123 million in 2017 due to the availability of cheaper export from other countries in the market.

The top importer of aluminium tube and pipes from the US is Mexico and Canada , Japan , South Korea and Mexico remain the top exporters to the US.

 


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EDITED BY : BEETHIKA BISWAS 3MINS READ

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