US OCTG Pipe Prices Surge Amid Product Shortage

The average price of oil and gas OCTG pipes in the US rose by almost 11% in August, reaching $2,838 per tonne. This increase is attributed to a worsening product shortage, which has led to longer delivery times for domestic P110 seamless pipes. In fact, delivery times have been pushed back to the fourth quarter of 2026, with some orders taking up to 90 days or more to be fulfilled.

Buyers are facing a shortage of round rolled steel (blanks), which is causing them to hold back on large import orders until US trade and customs policy becomes clearer. This has led to a surge in demand for domestic supplies, driving prices upwards.

The trend is also reflected in the number of active drilling rigs in the US, which stood at 588 at the end of August - a 52-rig increase from the same period last year. The US Energy Information Administration forecasts that this year's price of Brent crude will average $86.81 per barrel, while WTI crude is expected to average $80.88 per barrel.

Meanwhile, in Turkey, prices for welded pipes fell by 6% due to a seasonal downturn. However, producers are being forced to raise prices due to rising production costs and weak demand. The economic confidence index for Turkey's construction sector fell by 0.4 points in August, indicating that pessimistic sentiment prevails.