pipe and polymer industry in Russia

Polyethylene Pipe Market 2022

Based on research conducted in February 2023 on the behavior of the polyethylene pipe market in 2022, there was a 9% decrease in sales volume in the third quarter of the year compared to the same period of the previous year, but an overall examination of market behavior revealed that this market had a sales volume growth of 38% in its 2-year period. This is despite the fact that the sales volume in the third quarter of 2022 was estimated at $699,979 thousand, a significant increase compared to the first quarter of 2020, when the sales volume was $507,012 thousand.

A review and comparison of the 9 months of 2022 and 2021 can be useful in understanding the changes that occurred in the polyethylene pipe market in 2022. For the first 9 months of 2022, compared to the same period in 2021, the change in sales volume in the polyethylene pipe market is estimated to be an 11.2% increase and a volume of $2,122,377 thousand. It is true that the physical examination of the market will be slightly different in terms of number and tonnage of sales, however, estimates and comparisons of financial volumes of different periods show the level of market dynamics.

Considering the dynamics of this market, it can be said that the share of countries supplying polyethylene pipes is changing, but in general, the main players in this industry in 2022 can be stated as follows:

Germany with a share of 12.59%, China with a share of 10.56%, Italy with a share of 10.44% are the leaders of this industry. The United States of America, Poland, Turkey, Denmark, the United Kingdom, Canada, and the Netherlands are also in the next ranks.

The value of the Russian polyethylene pipe market increased by 2.8 billion rubles in 2021, due to increased consumption and continued growth in domestic production and imports of this product.

In some cases, Russia has even exported polyethylene pipes, the main destination of which was mostly Kazakhstan and Belarus.

The increased demand for polyethylene pipes in the domestic market, in turn, has intensified the activity of foreign players, as a result of which pipe imports to the domestic market were 16% higher than the indicators for 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 de

 

velopent and implementation of national housing and public utilities projects, including the National Gas Supply Program, have been among the factors that have had a significant impact on the growth of the polymer pipe market, according to Rosstat, the growth rate of production of these products has increased by 55%. The production of polymer pipes made of polyethylene (PE), polypropylene (PP), and polyvinyl chloride (PVC) has increased by 15.7% to 821 thousand tons. In 2022, the production of pipes made of polyethylene, polypropylene, and PVC in Russia exceeded 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 continued to grow in 2023, and this trend will continue in 2024.

This issue will be further developed, especially with the gas network development program, which was communicated to Gazprom in October last year by the order of the President of the country, Mr. Vladimir Putin, which provides for a gradual increase in the gas network in the country to 82.9% by 2030.

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

Structure of import and export of raw materials and plastic pipes

The Russian economy is under unprecedented pressure from sanctions. The 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 producers of which are non-union countries, as of March 2022. The total import of thermoplastic products, including PVC, PS, PP, PE and PET, amounted to about 1.14 million tons, of which 587.6 thousand tons were imported from non-union countries, which accounts for 51.5% of the total volume of basic thermoplastics. At the same time, 548 thousand tons were imported from the union countries, of which 47.7% came from China, Azerbaijan, Uzbekistan, the United Arab Emirates and Saudi Arabia.

Polypropylene PP occupies the first place among thermoplastics 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 (imports from non-Allied countries have the smallest share in the group), followed by PE and PVC.

According to the report of 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 were observed from 94 countries, of which 49 countries are currently on the list of non-Allied countries, including 29 EU countries. At the same time, 534.5 thousand tons, equivalent to 36.5 percent of total imports, were imported from non-member countries, of which 28.3 percent were imported from European Union countries.

Pipes, hoses and fittings remain in the third group in terms of imports, with their supply increasing 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-friendly countries, which reaches 55%.

At the same time, pipes, hoses and fittings also have a large share of the Russian import market, which has grown 2.4 times compared to 2021 and reached 139 thousand tons. Research shows that sales also increased by 29% and reached $ 238 million.

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 their connecting parts.

The company’s products include:

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
Coating pipes made of polypropylene with a diameter of 140, 125 and 160 mm
Welded segment fittings with a diameter of 90 to 315 mm
Cutting threads on polyethylene, polypropylene and PVC 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’s products include:

HDPE pipes with a diameter of 16 mm to 630 mm
Pipe from 16 mm to 110 mm in sections of 12 and 13 m (according to GOST)
Pipe with a diameter of more than 110 mm (in cross-section)

Factory location: Kaluga, Kryushino

POLYPLASTIC Volga region_ПОЛИПЛАСТИК Поволжье

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

The company’s main products are water supply, drainage, timing, irrigation systems, engineering equipment, and equipment for welding polyethylene pipes.

SPEKTR-PLAST_СПЕКТР-ПЛАСТ

The company was founded in 2016 in the village of Chertkovo, Rostov Region. It is currently engaged in the production of compression fittings for HDPE pipes, 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, sewage pumping stations, polypropylene and capacitor 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 high-quality products and modern, 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, it established production branches in Ufa, Izhevsk, Barnaul, Tolyatti and St. Petersburg.

The MirTrubPlast polyethylene pipe plant group 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 products of various dimensions for different working pressures.

Factory location: Republic of Tatarstan, Kazan, Ulitsa Rodiny

Methhimtex _Метхимтекс

The company was 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 moisture insulation 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 Bashkiria for the production of pipes.

TulaPlastic _ ТулаПластик

“PK “TulaPlastik” is a company engaged in the production of gas and water supply network equipment, heating and sewage systems and the supply of plumbing equipment.

TulaPlastic was founded in November 2009 in the city of Tula for the production and distribution of low-density polyethylene products 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 innovative technologies, the company pays special attention to the continuous improvement of production technology, the quality of manufactured and supplied products.

LLC “NPO “Polymer”__ «НПО «Полимер»

Limited Liability Company, Naberezhnye Chelny, LLC NPO “Polymer has been operating in the polymer products market since 1986. The company has maintained a stable position in the market, producing a wide range of polymer products with high competitive characteristics.

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

Plant location: Republic of Tatarstan,

“ICAPLAST”_ Икапласт

Since its foundation, the ICAPLAST plant has been recognized as a leading manufacturer of polymer pipeline systems in the North-West region of Russia.

Products:

Pressure polyethylene pipes and fittings with a diameter of 1200-20 mm
RC 100 polypropylene pipes for water supply systems
Polyethylene gas pipes with a diameter of 630-20 mm
PE-RT pipes for cabling
Corrugated polypropylene pipes with a diameter of 1100-1000 mm
Polyurethane foam insulation pipes

Location of the plant: St. Petersburg

“IMMID”

Scientific Production Association “Aquaculture IMMID”

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

The IMMID AQUACULTURE Scientific Production Association, based on LLC IMMID, established a polyethylene pipe production plant in 1992. In order to develop its products, in 1997, the company included in its production program, in addition to polyethylene pipes, the production of pre-insulated pipes and fittings.

The infrastructure of the company is a modern production complex with extrusion lines of the Austrian company CINCINNATI, which annually produces 20-25 thousand tons of polyethylene pipes with an outer diameter of 20-1200 mm, of which 10-15 thousand tons are for the production of gas polyethylene pipes from Russian and foreign primary black polyethylene.

Factory location: Vologda

Foreign companies of polymer pipes and fittings operating in Russia

China National Chemical Corporation (ChemChina)

A Chinese company with an annual production volume of various chemical products worth $ 45.5 billion, is one of the largest manufacturers in this area. The company meets a significant part of the needs of the Russian polymer market.

China Lesso Group

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

Liansu Group’s overseas business is conducted through its subsidiary, Samanea, and also operates in Singapore, Myanmar and Malaysia.

Anhui Guofeng Plastic Industry Co., Ltd

A Chinese company with about 1,500 employees and consisting of the following companies:

Guofeng Wood and Plastic Complex Materials Company

Guofeng Plastic Manufacturing Company

Guofeng Non-metallic Advanced Technology Materials Company

Guofeng Engineering Plastic Factory

Wavin B.V

A global manufacturer of plastic pipes, the company’s products are mainly used for drainage and water supply. The company was officially established in the Netherlands on August 5, 1955.

The company’s products include plastic pipes for drinking water piping and distribution, surface heating and cooling systems, sewage systems, and gas supply networks.

The company is headquartered in Schiphol, the Netherlands, and operates in 25 European countries.

Georg Fischer

George Fischer (GF) consists of three divisions: GF Machining Solutions, GF Casting Solutions, and GF Piping Systems. It is a large Swiss company that manufactures and supplies products for various industries, including water and wastewater, chemical, automotive, and metal industries. The company was founded in 1802 and operates in 33 countries with 140 companies, 57 of which are manufacturing facilities, making it one of the largest industrial companies in the world.

GF Piping Systems manufactures piping systems made of plastic and metal for water, wastewater, and gas transmission lines in industry, facilities, and construction, as well as fittings, valves, and pipes. In addition, the company has about 100 representatives worldwide.

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

According to the initial research conducted on this 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 rapidly expanding market share and access to the competitive and trade space in Russia

We can say 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.