Trump Trade War – Tenaris CEO Paolo Rocca supports steel tariffs

Houston Chronicle reported that steel pipe maker Tenaris will consider expanding its new Bay City pipe mill southwest of Houston and look to grow more in West Texas to take advantage of the shale oil boom and new steel tariffs on imports from overseas competitors. 中美欧化解钢铁产能过剩大不同

Tenaris, an Argentinian company with roots in Italy, opened its $1.8 billion, state-of-the-art pipe mill in Bay City at the end of last year. The mill, which produces the piping that goes into oil and gas wells, is designed to compete with Asian imports by bringing pipe manufacturing closer to the shale oil boom in West Texas and other regions.

Tenaris Chairman and CEO Paolo Rocca said “We fee we are very well positioned, and we support this policy.”

Rocca said it is critical to boost US pipe manufacturing and provide a domestic supply chain to the shale oil boom. He said “Tenaris is happy to play its growing role, he said. Tenaris already has a smaller pipe mill in Conroe, as well as additional facilities and service centers in Houston, Freeport and Midland. Tenaris’ North American headquarters is in Houston.”

Rocca said the new Bay City mill is up and running now, but it won’t achieve its full production capacity of 600,000 tons of steel pipe a year until late this year or next.

After that, Tenaris will consider additional growth, including in West Texas near the Permian Basin.

Source : Houston Chronicle