According to the Economic and Steel Market Outlook 2015-2016/Q4 2015 Report from the Economic Committee of the European Steel Association (EUROFER), EU steel tube output fell by 4.7 percent year on year in the second quarter of 2015.
The EUROFER report indicated that there are no indications of an improving business situation in the final quarter of this year; EU tube output is expected to decline again. On balance, total tube production is foreseen to fall by 4.2 percent in 2015. This would imply that output is only slightly higher than in the crisis year 2009.
The outlook for 2016 is for a gradual rebound to somewhat higher output levels. The market situation for large welded tubes remains uncertain. EUROFER noted that, following the transformation of the South Stream project into Turkish Stream, it is not clear what this project may bring in terms of business opportunities for EU suppliers.
Demand for small welded tubes from the construction, automotive and engineering sectors is generally foreseen to improve.
According to EURFOER, EU production of steel tubes is expected to rise by almost 3.5 percent in 2016, though remaining at a depressed level.