This week,
US voters elected Republican Presidential candidate Donald Trump to serve as the 45th President of the United States.
This could be good news for market players within the
US domestic energy pipe industry, including those involved with buying and selling API X-42 ERW line pipe, due to Trump’s ambitious plans for drilling and fracking.
During his campaign Trump pledged to “unleash $50 trillion in untapped shale, oil and natural gas reserves” and stated he wants the
US to “become, and stay, totally independent of any need to import energy from OPEC.”
“Trump believes that shale energy production could add 2 million jobs, which is in addition to the 400,000 jobs per year that can be added to the oil and natural gas industry. If production ramps up, and all these new jobs are in fact created, it’s safe to say this could mean big things for energy pipe demand,” one Texas-based source said.
In terms of current
US domestic spot market pricing for API X-42 ERW line pipe, this continues to be heard at $40-$41 cwt. ($882-$904/mt or $800-$820/nt), ex-Midwest mill. SteelOrbis sources continue to report that on-the-ground, in-stock material “can easily be had at a discount.”