Oil country tubular goods (OCTG) are hollow steel products of circular cross-section used in the oil and gas industry for exploration and production activities. OCTG encompasses mainly three types of products which include drill pipe, casing, and tubing. OCTG can be produced as seamless or welded tubes and pipes. The OCTG manufacturers can generally either produce seamless or welded OCTG products and not both, as the capital investment to manufacture seamless OCTG is ten to twenty times higher than the investment required to manufacture welded OCTG. At the same time, API specifications for most grades of casing and tubing stipulate that either welded or seamless construction is acceptable for end-use applications. Generally, welded pipe producers entering the OCTG market concentrate on producing line pipe and in some cases, some low grades of API casing.
The key factors which are anticipated to drive OCTG market include rising global demand for oil and gas, growth in crude oil prices, economic growth and lack of alternative sources of energy. Some of the noteworthy developments of this industry include global rig count growth, increasing global E&P spending, and seamless pipe industry, among others. However, the growth of respective industry is hindered by the barrier for fluctuation in steel prices, barriers to entry, global oil and natural gas depletion and impact on environment.
This report offers a comprehensive analysis of the global OCTG market. Furthermore, market dynamics such as key trends and development; and challenges are analyzed in depth. On the contention front, the global OCTG market is reined by few major players namely, Tenaris S.A., Vallourec, OAO TMK and Nippon Steel and Sumitomo Metal Corporation. The competitive landscape of the respective market, along with the company profiles of the leading players are also discussed in detail.
By combining SPSS Inc.’s data integration and analysis capabilities with our relevant findings, we have predicted the future growth of the market. We employed various significant variables that have an impact on this industry and created regression models with SPSS Base to determine the future direction of the industry. Before deploying the regression model, the relationship between several independent or predictor variables and the dependent variable was analyzed using standard SPSS output, including charts, tables and tests.