Pipes and polymers in the Russian market

Polyethylene Pipe Market 2022

Based on estimates and calculations for February 2023, the global polyethylene pipe market in 2022 showed a noticeable decrease in sales volumes in the third quarter of 2022. We estimate this change by -9.0% compared to the second quarter of 2022. But not everything is so. It is clear that if in the first quarter of 2020, according to our estimates and calculations, the sales volume in the polyethylene pipe market was estimated at $507,012 thousand, now in the third quarter of 2022 we estimate the sales volume at $699,979 thousand. The dynamics of changes for 2 years and 9 months showed an increase of 38.1%. At the same time, it turned out that the sales index for the period Q1 2020- Q3 2022 – Q2 2022 reached a record high.

Comparison of the 9 months of 2022 and 2021 is very revealing in terms of understanding the changes that occurred in 2022 in the polyethylene pipe market, while the data for the whole year has not yet appeared. For the 9 months of 2022, compared to the same period in 2021, we estimate the change in sales volumes in the polyethylene pipe market by +11.2% to the level of $ 2,122,377 thousand. Of course, if compared in physical terms, sales of polyethylene pipes will be different, the dynamics may also be different. However, more expressive dynamics are observed precisely in monetary terms, since this indicator estimates the amount of money circulating in this market.

The share of supplying countries in the polyethylene pipe market changes every quarter, of course, we also note annual changes. The ranking of supplying countries is also changing. Among the supplying countries in the global polyethylene pipe market that we assessed in the third quarter of 2022, the top countries are:

Germany with a share of 12.59%, China with a share of 10.56%, Italy with a share of 10.44%.

According to our analysis, other significant supplying countries include the United States of America, Poland, Turkey, Denmark, the United Kingdom, Canada, the Netherlands, and others.

We also saw Russia among the suppliers of polyethylene pipes. However, information about Russia is provided only in market research.

The value of the Russian polyethylene pipe market in 2021 increased by 2.8 billion rubles, and along with the growth of domestic production, export shipments are stabilizing.

The main consumers of Russian polyethylene pipes in the global market are Kazakh and Belarusian companies.

The increase in demand for polyethylene pipes in the domestic market, in turn, has intensified the activity of foreign players, as a result of which imports of pipes to the domestic market in terms of physical indicators were 16% higher than in the same period.

Chinese manufacturers are the largest importers of polyethylene pipes to Russia, and 40% of the total volume of polyethylene pipes imported to Russia are pipes made in China.

The development and implementation of national projects to replace the Emergency Fund for Housing and Public Utilities, including the National Gas Supply Program, significantly contribute to supporting the growth of polymer pipe production, the production of which, according to Rosstat, has increased by 55%, and the production of polymer pipes made of polyethylene, polypropylene, and polyvinyl chloride has increased by 15.7% to 821 thousand tons.

In 2022, the production of pipes made of polyethylene, polypropylene, and PVC in Russia may exceed 1 million tons for the first time.

More than 400 companies are engaged in the production of plastic pipes in Russia, among which the top five in terms of production of pipes for external networks are:

POLYPLASTIC Group (Moscow)

ARISPLAST (Tatarstan)
“Mirtrubplast” (Kazan)
”ICAPLAST” (St. Petersburg)
“IMMID” (Vologda)

Given the large-scale programs for the modernization of the housing and chemical complex, the production of plastic pipes will continue to grow in 2023. This is facilitated, in particular, by the social gasification program, which in October Russian President Vladimir Putin instructed Gazprom to extend beyond the horizon of 2022. Particular attention is paid to the socialization of gasification, which implies a gradual increase in the level of gasification in the country to 82.9% by 2030.

In total, by the end of 2025 it is planned to lay about 83.2 thousand intra-settlement gas pipelines, more than 24 thousand inter-settlement gas pipelines and The gas pipeline branch will be built. About 538 thousand households and apartments, more than 3.2 thousand boilers will have access to gas, and by 2026, the technically feasible gasification of the network will be completed in 35 regions of the Russian Federation.

Thanks to the use of polyethylene pipes, the service life of gas pipeline systems will be increased several times, the cost of their installation will be reduced, and the speed of installation will increase. It is worth noting the high resistance of polymer pipes to aggressive environments, which reduces the amount of damage and has a positive effect on the efficiency of gas pipeline systems throughout the entire life cycle.

Structure of import and export of raw materials and plastic pipes

The Russian economy is under unprecedented pressure from sanctions. Plastinfo.ru publication analyzed data from the Federal Customs Service of the Russian Federation for 2021 and estimated the volume of imports of basic and engineering polymers, the manufacturers of which are located in non-Union countries, as of March 2022.

In total imports, the share of basic thermoplastics including PVC, PS, PP, PE and PET was about 1.14 million tons, equivalent to 93.4 percent. At the same time, 587.6 thousand tons were imported from non-member countries, which accounts for 51.5 percent of the total volume of basic thermoplastics. According to experts, the share of imported raw materials in pipe production was 11 percent.

At the same time, 548 thousand tons were imported from allied countries, of which China, Azerbaijan, Uzbekistan, the United Arab Emirates and

Saudi Arabia accounted for almost 90% of the total deliveries, with China’s share being 47.7%.

Polypropylene took first place among the thermoplastics considered in 2021 with an import volume of 234 thousand tons, of which 53.7% is now in the high-risk segment. The second place belongs to PET with a volume of 215.4 thousand tons, with imports from non-allied countries having the smallest share in the group – only 19%. HDPE and PVC processors are also relatively safe, with high-risk transactions accounting for about a third of imported raw materials.

According to the Association of Pipeline Systems Manufacturers (APTS), the main suppliers of polyethylene pipes to Russia were Azerbaijan, South Korea, Germany, France, Sweden, Finland, Austria, the United Arab Emirates, Taiwan, Belgium, Thailand. At the same time, polyethylene pipes with increased temperature resistance (PE-RT) were supplied from South Korea, Belgium, Germany and France.

According to the results of 2021, imports of 11 groups of plastic products under the TN VED to Russia from 94 countries were observed, of which 49 countries are currently on the list of non-union countries, including 29 EU countries. At the same time, 534.5 thousand tons, or 36.5% of total imports, were imported from non-union countries, of which 28.3% were imported from EU countries.

Pipes, hoses and fittings remained in the third group in terms of imports, the volume of their supply increased by 2.8% to 108.8 thousand tons, and in terms of money by 18.5% to $ 0.687 billion. This group of products has the largest share of deliveries from non-union countries, which reaches 55%.

At the same time, pipes, hoses and fittings The second largest group of exports remained plastic products, the supply of which abroad in 2021 showed the greatest growth – 2.4 times and reached 139 thousand tons, and in monetary terms, sales increased by 29% to $ 238 million. This group of products has the smallest share in deliveries to unfriendly countries, which was only 6.8%.

Top manufacturers of polymer pipes and fittings in Russia

LLC ARISPLAST_ «АРИСПЛАСТ»

Manufacturer of polyethylene pipes from low-pressure polyethylene PND, known to a wide range of consumers of this type of product. The main activity of the company is the production of polyethylene pipes and fittings for them.

Production:

HDPE water pressure pipes with a diameter of 20 to 800 mm
Plastic pipes for underground gas pipelines with a diameter of 20 to 630 mm
Casing pipes made of polypropylene with a diameter of 140, 125 and 160 mm
Welding segment fittings with a diameter of 90 to 315 mm
Cutting threads on polyethylene, polypropylene pipes and pipes

Location of the plant: Republic of Tatarstan

LLC Kudinovsky Pipe Plant_ООО «Кудиновский трубный завод»

Kudinovsky Pipe Plant has been producing plastic pipes since 2008.

The company produces HDPE pipes with a diameter of 16 mm to 630 mm. Pipes from 16 mm to 110 mm are produced in

sections of 12 and 13 m according to GOST or in spans of 100 m and 200 m. Pipes with a diameter of more than 110 mm

are produced only in sections.

Plant location: Kaluga, Kryushino

POLYPLASTIC Volga region_ПОЛИПЛАСТИК Поволжье

It began its work in 1991 and has factories in more than 17 cities of Russia. This company is the largest manufacturer of polymer pipes in Russia. The company’s products are used in various oil and gas, petrochemical, water and sewage industries and agriculture.

The main products of this company are in the field of water supply, drainage, timing, irrigation systems, engineering equipment and

Polyethylene pipe welding equipment.

SPEKTR-PLAST_СПЕКТР-ПЛАСТ

was founded in 2016 in the village of Chertkovo, Rostov region. The company is engaged in the production of compression fittings for pipes, HDPE polymer containers and fittings for PE-X, PE-RT underfloor heating pipes.

Factory location: Rostov, Chertkovo, Transportnaya Ulitsa

Plant LLC “NANOPLAST”_ Завод «НАНОПЛАСТ»

The Nanoplast plant is a reputable company specializing in the production of water treatment equipment, polypropylene sewage pumping stations and

capacitive equipment made of polypropylene and polyethylene. A separate activity of the plant is the production of high-quality polymer pipes

for heating and water supply.

Over the years of its work, the company has gained a reputation as a contractor and specialist in its field, a manufacturer and supplier of

excellent quality products and modern and efficient equipment.

Factory location: Sverdlovsk, Yekaterinburg

Innovative pipe technologies_ Инновационные трубные технологии

The company’s products include:

Polymer pipes
Control and SHUT-OFF valves
Polyethylene manholes
Polyethylene fittings
Fire hydrants
Sewage valves
Welding equipment

Factory location: Krasnodar Krai, Sormovskaya

MirTrubPlast_«МирТрубПласт»

The company began operating in Kazan in 2002. Later, production branches were established in Ufa, Izhevsk, Barnaul, Tolyatti and St.

Petersburg. The group of polyethylene pipe factories “MirTrubPlast” produces more than 36,000 tons of products per year.

The company’s pipes are installed at the facilities of the Winter Olympics in Sochi, the Universiade in Kazan, the Kazan metro, ski resorts, on gas pipelines in various regions of the Russian Federation and even at nuclear power plants.

The company has an established sales network of reliable partners and suppliers in various regions of Russia.

Today, MirTrubPlast is a group of polyethylene pipe factories and one of the largest companies in Russia, which has modern production technologies and produces products with a wide range of diameters for various working pressures.

Factory location: Republic of Tatarstan, Kazan, Ulitsa Rodiny

Methhimtex _Метхимтэкс

Founded in 1994. The company “Methhimtex” is a unique company specializing in the development of modern technologies, design of enterprises and production of process equipment, as well as the construction of pipeline systems for hot and cold water supply, heating, oil, gas and aggressive liquids. Based on polyurethane foam technologies, external waterproofing with double-layer polyethylene coatings, aluminum-ceramic and silicate enamels of steel pipes.

“Methhimtex”As one of the largest manufacturers of pipelines, PPU is actively engaged in the development and production of technological lines and a wide range of equipment for thermal insulation and waterproofing of pipeline systems for heating, water and gas.

In 2006, a plant was opened in Kaluga and a plant in Bashkortostan for the production of pipes.

TulaPlastic _ ТулаПластик

“PK “TulaPlastik” is a company that completes gas and water supply, heating and sewage systems, supplies plumbing equipment and

heating radiators.

TulaPlastic was founded in November 2009 in Tula for the production and distribution of low-density polyethylene (HDPE) pipes. Currently, LLC PK TulaPlastic is a supplier of a wide range of high-quality products for completing gas and water supply, heating and sewage systems. Focusing on the introduction of innovative technologies, the company strives to create win-win solutions for consumers and enterprises. Particular attention is paid to the continuous improvement of production technology, the quality of manufactured and supplied products. Pipes, fittings, valves, aluminum radiators, bimetallic radiators supplied by the company are manufactured on the basis of modern technologies. LLC NPO Polymer LLC “Naberezhnye Chelny” (Naberezhnye Chelny) Allows us to maintain a stable position in the market of polymer products. Market year after year In addition, the specialists of our organization constantly study changes in demand and supplement and refine the range of products.

The company has the necessary licenses (certificates) issued by LLC “Certification and Expertise Center” Tvereks   .

“”NPO Polymer LLC conducts constant scientific research on the properties of materials and finished products. Research allows you to constantly improve the quality of the product and reduce its cost. The main direction of the organization is polyethylene pipes and coatings.

“LLC NPO Polymer” together with a higher educational institution trains highly qualified personnel in the basic departments of the Kazan University of Management, TISBI

Naberezhnye Chelny,Shlyuzovaya Ulitsa Plant location: Republic of Tatarstan,

“ICAPLAST”_ Икапласт

The “ICAPLAST” plant has been recognized as a leading manufacturer of polymer pipeline systems in the

North-West region of Russia since its foundation. “ICAPLAST” produces high-pressure polyethylene pipes and fittings with a diameter of 20-1200 mm, polypropylene pipes RC 100 for water supply systems, polyethylene gas pipes with a diameter of 630-20 mm, PE-RT pipes for

cable laying, polypropylene corrugated pipes with a diameter of 110-1000 mm, polyurethane foam insulation pipes, polymer wells, and

as well as KNS and VOCs.

Plant location: St. Petersburg

“IMMID”

Scientific Production Association “Aquaculture IMMID”

The main activity of the company is the complete technical equipment of fish farms, the development of technologies Fish farming is a complete supply of aquaculture equipment from design and manufacture to installation and commissioning, along with recommendations for maintenance.

The scientific production association “IMMID AQUACULTURE” was created on the basis of “LLC “IMMID” – a plant for the production of polyethylene pipes, which was established in

1992. In 1997, in addition to polyethylene pipes, the production of pre-insulated pipes and fittings was launched.

The infrastructure of the company is a modern production complex. New extrusion lines of the Austrian company CINCINNATI annually produce 20-

25 thousand tons of polyethylene pipes with an outer diameter of 20 to 1200 mm, including 10-15 thousand tons of polyethylene gas pipes

from primary Russian and foreign black polyethylene.

Factory location: Vologda

Foreign companies of polymer pipes and fittings operating in Russia

China National Chemical Corporation (ChemChina)

is a Chinese company. With an annual production volume of various chemical products worth $45.5 billion, it is one of the largest manufacturers in the world. The company supplies a significant part of the Russian polymer market.

China Lesso Group

is one of the largest manufacturers of plastic pipes and plastic production equipment in China, mainly producing urban pipes, plastic machinery, construction electrical appliances and other products.

Liansu Group’s overseas business is carried out through its subsidiary, Samanea, and operates in Singapore, Myanmar

and Malaysia.

Anhui Guofeng Plastic Industry Co., Ltd

A Chinese company with approximately 1,500 employees. It consists of the following companies:

Guofeng Wood and Plastic Complex Materials Company

Guofeng Plastic Manufacturing Company

Guofeng Non-Metallic Advanced Technology Materials Company

Guofeng Engineering Plastics Factory

etc.

Wavin B.V

Is a global manufacturer of plastic pipes, mainly for drainage and water supply purposes. The company was officially founded on August 5, 1955 in the Netherlands and its name is derived from water and vinyl chloride. The company offers plastic pipe systems and products for water, heating and cooling, soil and waste, rainwater, drinking water and gas distribution and telecommunications applications. The company is headquartered in Schiphol, the Netherlands, and operates in 25 European countries. Georg Fischer (GF) consists of three divisions: GF Machining Solutions, GF Casting Solutions and GF Piping Systems. Founded in 1802, the company is headquartered in Switzerland and is present in 33 countries with 140 companies, 57 of which are manufacturing facilities. Its approximately 15,000 employees generated sales of 4.57 billion francs in 2018. “GF” offers pipes for the safe transport of liquids and gases, lightweight castings in vehicles and high-precision manufacturing technologies.

GF Piping Systems supplies piping systems made of plastic and metal as well as hollow and hollow rods for machining. The division manufactures components for the transport of water and gas in industry, installations and buildings. Its product line includes fittings, valves, pipes, automation and covers all applications in the water cycle. GF Piping Systems has sales companies and representatives in more than 100 countries worldwide. The division is present in Europe, Asia and the Americas with more than 30 production sites and research and development centers, which also support the energy-saving use of raw materials and resources.

Key and important factors for the presence of Iranian manufacturers in the Russian market

According to the initial research conducted on the furniture and wood industry in the large Russian market and considering the key factors:

High and consistent quality of manufactured products

Preferential tariffs on import duties of Iranian goods to Russia

Low export costs of Iranian products to Russia compared to Western and Chinese goods

The proximity and proximity of Iran and Russia as a logistical advantage and the possibility of exporting Iranian goods to Russia by various methods such as land, rail and sea transportation in the shortest time and at low shipping prices

The absence of a large part of the market from famous Western brands

The possibility of rapid expansion of market share and access to the competitive and trade space in Russia

It can be said that there is a high economic justification for entering the large Russian-Eurasian market, and the Fardad Group of Companies is proud to establish effective and successful joint cooperation in this direction.