Transport, Steel Pipe Needs Fuel Downstream U.S. Metal Sector

Written by Will Ploch, Assistant Editor-in-Chief for IIR News (Sugar Land, Texas)

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Summary

Strong demand for infrastructure components from the transportation, energy and other sectors is driving the expansion of many downstream plants in the U.S. Metals & Minerals Industry, including foundries and pipe mills.

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Foundries Critical to Transport Sector

Technological changes across the energy and transportation sectors are driving product development for companies that process metals into industrial components. Industrial Info is tracking more than $2 billion worth of capital-spending projects across downstream U.S. Metal & Minerals Industry sectors that are set to begin construction before the end of the first quarter; these sectors cover the casting, forging, rolling, processing and finishing of metal products.

One of the highest-valued projects is from Pratt & Whitney (Hartford, Connecticut), a subsidiary of RTX Corporation (Arlington, Virginia), formerly Raytheon Technologies, which is preparing for a major expansion at its complex in Asheville, North Carolina. The facility produces high-tech turbine airfoils, a crucial component in aircraft jet engines, via an onsite foundry.

Customers for the Asheville facility include Airbus SE (Blagnac, France), which uses Pratt & Whitney's Geared Turbofan in its A320 airplane, and Lockheed Martin Corporation (Bethesda, Maryland), which uses the F135 afterburning turbofan for the F-35 Lightning II.

Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Plant and Project databases can learn more about the Asheville project--including capacities, investment values and necessary equipment--from a plant profile and detailed project report.

Other foundries with upcoming developments include Canerector Incorporated's (North York, Ontario) expansion of its Kent Foundry in Greenville, Michigan, and ME Elecmetal's (Santiago, Chile) upgrades to its steel castings facility in Duluth, Minnesota. Canerector's plant casts gray and ductile iron, which are used commonly in the development of engine parts and pipe fittings, while ME Elecmetal's plant produces wear-resistant steel castings for the mining and construction industries.

Subscribers can learn more about these developments from detailed reports on the Greenville and Duluth projects.

By the Numbers

• More than $2 billion: Value of capital projects at downstream U.S. metal plants set to kick off in the first quarter.
• A320 and F135: Turbofan engines set to be developed further at Pratt & Whitney's facility in Asheville, North Carolina.

Steel Pipe Demand Another Key Driver

American Cast Iron Pipe Company (ACIPCO) (Birmingham, Alabama) and Borusan Berg Pipe (Panama City, Florida), a subsidiary of Borusan Holding (Istanbul, Turkey), are among the companies upgrading their production of steel pipe via projects set to kick off before the end of March. ACIPCO is preparing to expand and upgrade its plant in Birmingham, which produces electric-resistance-welded (ERW) pipe for the Oil & Gas Industry and spiral-welded pipe for water and wastewater infrastructure.

Subscribers can learn more about the ACIPCO development from a plant profile and detailed project report.

Borusan is preparing to expand and upgrade its plant in Panama City, Florida, which makes large-diameter, longitudinally welded steel line pipes (SAWL) for the construction, oil and natural gas sectors. The company expects the improvements will allow it to produce pipes with broader diameters and thicker walls. Subscribers can learn more specifics from a plant profile and detailed project report.

Various analysts expect the domestic and global demand for steel pipe to grow significantly over the coming decade, particularly from the exploration, production and gathering of natural gas. Other corners of the energy market, including renewables and water transportation, make extensive use of steel pipes.

Subscribers can click here for a full list of reports for capital-spending projects across downstream U.S. metal industry sectors that are set to begin construction before the end of March.

Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.

Key Takeaways

• Downstream areas of the Metals & Minerals Industry include plants that cast, forge, roll and process steel.
• Foundries that develop components for aircraft engines are seeing demand grow for some of their heavy-duty products.
• Steel pipe is needed increasingly in the energy sector, particularly in areas related to the development of natural gas.

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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).