Industry Analysis & Industry Trends
After experiencing severe fluctuations in revenue during the past five years, demand is expected to improve in the coming years. Rising oil and gas prices, and a return to sustained growth in demand from downstream buyers, will increase industry revenue. However, operators will face increasing competition from plastics, cement tubes and imports, during the next five years. Nonetheless, steel prices are expected to keep profit margins fairly constant over the period... purchase to read more
Industry Report - Industry Investment Chapter
The Metal Pipe and Tube Manufacturing industry has a medium level of capital intensity as firms rely on large-scale capital equipment for their production operations. IBISWorld estimates that for every $1.00 spent on wages, industry operators will spend $0.22 in capital investment. This 2013 figure represents a substantial increase from $0.14 in 2008. New capital spending is typically for the purchase of machinery, representing an estimated 92.6% of capital expenditure in 2013, while a much smaller portion is allocated toward buildings, new facilities and other structures.
In addition, the purchase of computers and data processing equipment has been on the rise over the past five years, increasing from $9.4 million in 2008 to an estimated $17.8 million in 2013... purchase to read more