Market Position in 2011

In 2011, the global pipe market showed a positive trend and grew by 8.8% over 12 months. One of the main reasons for the increase in demand was the increase in world oil and gas production.

Against background of general growth, TMK was able to increase its pipe shipments by 6.6% in comparison to 2010, which is equivalent to an increase from 3,969 thousand tonnes to 4,232 thousand tonnes.

Based on the results of 2011, TMK held a market share of 25% in Russia, 5.9% in the U.S. and 1.4% in Europe. As before, the production and sale of oil and gas pipe and premium connections remain priority areas for TMK. TMK’s most robust market positions are in seamless pipe segments — line pipe and OCTG — as well as welded OCTG, with market shares of 21%, 14% and 9%, respectively.

TMK Sales Volume Trends by Division

thousand tonnes Russian Division American Division European Division
  2011 2010 Change,% 2011 2010 Change,% 2011 2010 Change,%
Seamless pipe 1,883 1,699 +11% 281 253 +11% 178 169 +5%
OCTG 930 876 +6% 240 238 +1% 1 7 -86%
Line pipe 536 444 +21% 19 8 +138% 27 29 -7%
Industrial pipe 417 379 +10% 22 7 +214% 150 133 +13%
Welded pipe 1,232 1,290 -5% 611 551 +11%   -  
OCTG - - п/а 364 357 +2%   -  
Line pipe 257 221 +16% 105 59 +78%   -  
Large diameter pipe 608 700 -13% - -     -  
Industrial pipe 367 369 -1% 142 135 +5%   -  
Total 3,115 2,989 +4% 892 804 +11% 178 169 +5%

Of the pipe manufactured in Russia, 14% is exported. One of the most important export areas is the North American market. U.S. sales are primarily handled through distributor companies, through which products are sold to large energy companies: ExxonMobil, BP, Chesapeake, Chevron and Marathon Oil.

As one of the largest pipe manufacturers in the world, the geography of TMK shipments covers more than 80 countries.

Active demand on the part of U.S. and Canadian customers in 2011 enabled the reallocation of a portion of sales from the Russian and European markets.

 

Services & Tools

My Annual Report

Tools