Global Oil Country Tubular Goods (OCTG) Market: Country Overview; Value Chain Analysis; Production Process; Trade Analysis; Market Dynamics: Drivers & Constraints, Industry Events, Innovations & Trends, SWOT Analysis; Market Analysis; Industry Best Practices: Sourcing Strategy, Procurement Model, Negotiation Levers, Key Factors Influencing the Quotation; Key Supplier Analysis, 2024-2032

Oil Country Tubular Goods (OCTG) Industry Report by Regional Category Spend, Price Analysis, Key Demand, and Price Indicators, and Best Buying Practices

The global Oil Country Tubular Goods (OCTG) market reached a value of about USD 9.6 billion in 2021. The industry is projected to grow at a CAGR of around 8.8% in the forecast period of 2022-2027 to reach a value of about USD 16.6 billion by 2027.

The global Oil Country Tubular Goods (OCTG) industry report gives a comprehensive analysis of the industry, including key segments, trends, drivers, restraints, the competitive landscape, and other essential market aspects. The rising drilling activities are driving the market growth. North America is the highest category spender by region, driving the demand for the Oil Country Tubular Goods (OCTG) industry.

Industry Definition and Segmentation

Tubing, casing, pipes, and pipelines utilised in the petroleum division are Oil Country Tubular Goods (OCTG). These goods are the foundation of oil and gas well and pipeline design and serve as a conduit for the safe and efficient transportation of oil and gas products to market. These include drill pipes, casing, and tubing subjected to loading conditions according to their intended use. The Oil Country Tubular Goods (OCTG) industry report comprises segments by Manufacturing Process (Seamless, Electric Resistance Welded), by Grade (Premium Grade, API Grade), and region (North America, Europe, Asia Pacific, the Middle East, and Africa, and South America).

The North American Region is Driving the Growth of the Industry

North America holds the largest share in the market as horizontal and directional drilling activities have increased in the United States' shale drilling locations. The liberalisation of Canada's oil and gas industries has increased international investment, which aided the industry's expansion.

The market is driven by the rising number of oil and gas rigs in offshore areas. The increased offshore exploration/drilling activity has now moved into deeper waters, requiring more advanced equipment, resulting in the rise of the oil country tubular goods sector. As a result of the increasing need for energy resources, extensive product adoption for exploring onshore oil fields to generate a wide variety of chemical products and fuel is boosting market expansion. Other factors like low oil breakeven prices due to expanding non-oil income and technology improvements, lower oil service costs, and increased directional drilling further the market's expansion.

Best Procurement Practices

The global Oil Country Tubular Goods (OCTG) industry report by Procurement Resource gives an in-depth analysis of the best buying practices followed by primary global Oil Country Tubular Goods (OCTG) regions across the globe, such as engagement models, contract terms, and buyer and supplier negotiation levers, among others.

Category Management Studies

Drill pipes are big seamless tubes that revolve the drill bit and circulate drilling fluid. In contrast, the pumped oil and gas emulsion exposes the casing pipeline to axial tension and internal pressure. On the other hand, tubing is a conduit used to transfer gases and oils from the wellbore. Electric resistance welded (ERW), or seamless techniques are used to create OCTG, which allows for the safe and efficient transportation of oil and gas.

Premium Grade Goods, Further Augmenting the Procurement of Oil Country Tubular Goods (OCTG)

The market is being propelled by the rising demand for the premium-grade OCTG. Gas wells, horizontal wells, high pressure, and high-temperature wells use premium-grade applications. The premium-grade OCTG is used on connections that have more complicated applications and require gas-tight sealing. Furthermore, the increased deployment of seamless pipes favourably boosts market growth due to their ability to provide shape consistency and sustain exceptionally high pressure without cracking. Also, with the increasing demand for energy and power, governments worldwide are implementing policies and strategies to meet this demand, doubling down on their investments in E&P enterprises, thus resulting in the market's expansion.

The regional markets for the industry can be divided into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific.

Key Industry Players Mentioned in the Oil Country Tubular Goods (OCTG) Industry Report

• Tenaris S.A.
• Vallourec S.A.
• TMK Group
• Nippon Steel Corporation
• United States Steel Corporation
• Superior Tubular Solution FZE

Market Landscape

The market for tubular goods in oil-producing countries is fragmented. To provide customers with novel products and services, prominent companies in this industry are expanding their R&D spending. Companies hope to strengthen their position in the oil country tubular products market throughout the forecast period by putting in these efforts.

Key Initiatives by Companies

• ANDOC has granted a multibillion-dollar casing and tubing contract to a consortium consisting of Vallourec, Tenaris, and Marubeni Corporation. ANDOC will have more flexibility due to the arrangement, allowing it to satisfy the needs of its global customers better.
• TMK, Romania's largest OCTG company, struck a strategic agreement with Novatek, Russia's second-largest natural gas producer, in June 2019. TMK will offer Novatek premium casing and tubing pipe goods under the agreement terms, which include a formula-based pricing and supply methodology.