NEW YORK In
addition to any positive outcome from the trade complaint
against oil country tubular goods (OCTG) from nine countries,
gas drilling also will have to show a pickup for Vallourec
SAs U.S. prices to show improvement next year, according
to a top executive.
"If anti-dumping is a
positive factor ... for our pricing policy, we always said that
any rebound of prices also would be conditioned on the restart
of activity on gas drilling and will be conditioned on the
level of capex that we see now until the end of the year.
Nothing is only dependant on the anti-dumping factor," Didier
Hornet, managing director of the companys OCTG division,
said during a third-quarter earnings conference call.
Boulogne-Billancourt, France-based pipe and tube maker
continues to ramp up its new OCTG facilities in Brazil and
Youngstown, Ohio. "VSB (in Brazil) is today in the fourth
quarter running at about two-thirds of its nominal capacity,
and VM2 (in Youngstown) is ramping up the end-finishing, which
is today the bottleneck to deliver the 2014 (production) plan,"
Hornet said. Vallourec officially opened the Youngstown plant
in June (
amm.com, June 12).
North Americas sales totaled 1.06 billion ($1.42 billion)
in the first nine months of this year, down 6 percent from
1.13 billion in the same period last year as the
preponderance of shale oil drilling has meant greater demand
for lower-margin semi-premium connections, according to its