Infrastructure projects in region steadies demand for steel tubes in region after months of negative growth

According to a market study, the global demand for steel pipes and tubes is forecast to reach 151 million tons by 2017. This is mainly driven by increased activity in the oil and gas and construction sectors and the rise in infrastructure development projects.

The UAE, as a huge contributor of the overall construction project value in the region, has the largest number of active projects in the Middle East. The resulting high demand for steel tubes has strengthened the position of the UAE, and GCC, as a production base for tubes, pipes and welding solutions and machinery.

It is estimated that the steel tube industry will witness an annual growth of 17 per cent in the UAE until 2015. This forecast has been made by Al Fajer Information & Services (AFIS), Messe Essen and Messe Dusseldorf, the organizers of Arabia Essen Welding & Cutting, Tekno Arabia and Tube Arabia, the three-in-one industry exhibits to be held from at the Dubai International Exhibition and Convention Centre from January 7 to 10, 2013.

A record number of over 300 exhibitors from 25 countries are expected to take part in the four-day event. The Arabia Essen Welding & Cutting, Tekno Arabia and Tube Arabia are the by far the largest industry events of the sector being held in the region.

The three exhibitions are regarded a key gateway to the extremely important Gulf and Middle East markets by exhibitors from Europe, North America and Asia, according to organizers.

Satish Khanna, General Manager, AFIS, said, "The UAE is a very significant market for the construction industry worldwide. The Tekno and Tube shows have already established their mark on the world for more many years as international events for industrial machinery, metal working, machine tools, tubes and pipes. The shows are key drivers for highlighting the strength of the industry in this region. The Arabia Essen Welding & Cutting 2013 is the first-of-its-kind industry expo which will be dedicated specifically to welding machinery and technology."

The steel tube production saw a global decline since 2008. All buying sectors registered sharp declines. In this context, not only the exploration activities of the oil and gas industry declined as a result of the falling energy consumption, along with tumbling oil and gas prices. Key customer sectors such as mechanical engineering and the automobile industry were also very reluctant to place orders, with the exception of the power sector, which due to long lead times, was able to continue the extension of capacities.

Khanna added, "Tekno and Tube Arabia 2013 have emerged as the largest and most important regional industry exhibitions and adding welding to these two vibrant industries offers an integrated solution to the rapidly growing needs of the industry. The three exhibitions represent a significant industry component of the industrial and manufacturing stake. Construction, energy and railway industries are boosting the shows and we felt great demand from international players to target these sectors. Moreover, GCC production of welding, cutting and laminating technologies as well as tubes and pipes are poised to increase with the rebound in the GCC economies overcoming the real estate turn down."

"We are excited to hold Arabia Essen Welding & Cutting 2013 in Dubai for the first time. The new fair is the result of successful collaboration between the fair companies in Essen and Düsseldorf and us," added Khanna.

The Gulf countries are increasing their current oil field production capacities and launching new explorations, which are boosting the pipes and tubes industry in the region. Equally important, the Gulf is emerging as a leading metals hub and investments in the Gulf's pipes, tubes and steel industries.

Exhibitors in Arabia Essen Welding & Cutting include manufacturers of welding equipment, consumables and accessories as well as traders of fume extraction devices, pool monitoring systems, seam measurement and evaluation devices, automated for lattice work girders, bugles, converters and generators, filter installations, fittings, installations, welding machines, power drying furnaces, welding robots, seam identification systems, welding tables, torches, tractors, wire de-reelers and cutting and soldering technologies and solutions.

AFIS anticipates that pipes, tubes and welding will continue to grow with the efforts being made to increase domestic production and reduce reliance on imports. This will further boost the importance of the three shows that will attract more companies to display its products and increase footfall of visitors looking to deploy best technologies into the operations of their factories.