Focus: Energy Transition Drives Boiler Tube Upgrades; One-Stop Service Locks in Delivery Schedules and Costs

Since the beginning of 2026, the global steel pipe industry has faced a dual transformation: On one hand, ongoing international geopolitical friction continues to disrupt supply chains for alloy raw materials—such as nickel, chromium, and molybdenum—thereby driving up production costs for seamless alloy pipes. On the other hand, the global energy structure is undergoing an accelerated transition; high-end projects—including retrofits of supercritical thermal power plants, integrated petrochemical refining complexes, and hydrogen energy storage and transport systems—are generating explosive demand for high-grade boiler tubes and petrochemical piping, such as ASTM A335 P91/P92, 15CrMoG, and 12Cr1MoVG. As a specialized one-stop supplier in the seamless steel pipe sector, Sanonpipe is leveraging its standing inventory of 20,000 tons (comprising both carbon steel and alloy steel seamless pipes) and its mature network of outsourced processing partners to help domestic and international clients effectively mitigate the risks associated with raw material price volatility and significantly shorten procurement lead times.

Alloy Element Prices Fluctuate at High Levels; Cost Pressures on High-End Piping Persist

According to data from the London Metal Exchange (LME) and the International Stainless Steel Forum (ISSF), as of June 2026, the price of ferromolybdenum (FeMo) had risen by nearly 35% since the start of the year. Additionally, benchmark prices for ferrochrome have remained at historic highs, largely due to the ongoing power crisis in South Africa. For alloy steel pipes—such as 12Cr1MoVG, Cr5Mo, and 10CrMo910—the cost of alloy elements (chromium, molybdenum, and vanadium) can account for over 30% of the total material cost. This price rigidity in raw materials is directly passed on to finished pipe products, resulting in cumulative ex-factory price increases of 12% to 18% for seamless alloy pipes from major domestic steel mills over the past three months.

However, the pressure facing end-users in procurement stems not only from rising prices but also from severe supply shortages—a situation often described as "pipes being hard to come by." Boiler tubes designed for supercritical applications—typified by grades such as P91 and P92—have long existed in a state of tight supply within the conventional spot market. This scarcity is primarily attributable to their extended production cycles (requiring 8 to 12 weeks from steelmaking through heat treatment) and the stringent certification thresholds required for their manufacture. Compounding this situation, the concentrated launch of numerous large-scale petrochemical projects across Southeast Asia and the Middle East during the first half of this year has further exacerbated the supply-demand gap for these types of high-end tubular products.

**Driven by the Dual Forces of Energy Transition and Thermal Power Modernization, Demand for Boiler Tubes Sees Structural Growth**

Although global installed capacity for renewable energy continues to rise, nations are—in an effort to stabilize grid fluctuations—seeing demand for the life-extension retrofitting of high-parameter, high-efficiency coal-fired and gas-fired generating units increase rather than decrease. China, India, and several Eastern European countries are currently implementing a "coordinated triple-retrofit" initiative for their existing coal-fired power assets; under this scheme, upgrading boiler heating-surface tubes to materials such as T91, T92, or P23 has become the standard solution. Concurrently, within the petrochemical sector, demanding operating environments—such as ebullated-bed hydrocracking and ethylene cracking—continue to drive demand for heat-resistant alloy tubes (including grades like Cr5Mo, 1Cr9Mo, P5, and P9) at a compound annual growth rate exceeding 6%.

Driven by this robust demand, Sanonpipe’s boiler tube business now accounts for 40% of the company’s total sales revenue, followed by line pipe at 20%, welded pipe at 20%, and square/rectangular tubing at 20%. The company’s Head of Operations stated: "We have observed that since the second quarter of this year, inquiries have increasingly focused on specific grades: API 5L GRB; ASME A106 GRB; ASTM A335 grades P92, P91, P11, P9, and P5; GB/T5310 grades 15CrMoG and 12Cr2MoG; and ASME SA-213 series grades T11 and T22. Customers are no longer satisfied with merely purchasing the tubes themselves; they now demand a comprehensive, one-stop service package that includes material certificates, heat treatment reports, and third-party inspection—precisely the core service domain in which Sanonpipe specializes."

**A "Mature Partner Factory + Large-Scale Inventory" Model Provides Customers with a "Price Safety Cushion"**

To address common industry pain points—such as frequent price adjustments by upstream steel mills and extended delivery lead times—Sanonpipe leverages a mature network of partner factories, cultivated over many years, alongside a standing inventory of nearly 20,000 tons (with alloy seamless steel tubes accounting for nearly half of this volume). This infrastructure enables the company to offer a dual-channel service model: "Direct Shipment from Stock" combined with "Custom Production Scheduling." For general-purpose grades—such as carbon steel and low-alloy pipes like SA106B, GRB, 20#, 20G, and Q345—the company maintains a standing inventory of thousands of tons, enabling us to ship orders within 24 hours of receiving payment.

For high-grade alloy pipes—such as P11/P22/P91, as well as 15CrMo and 12Cr1MoV (compliant with the GB9948 standard)—the company collaborates with long-term partner steel mills to secure annual production capacity and pre-stock raw materials. This strategy allows us to compress the standard 8-week lead time down to just 3 to 4 weeks.

Our comprehensive suite of supporting services covers everything from raw material re-inspection, painting, and beveling to export-compliant fumigated packaging and maritime logistics. This truly embodies our philosophy: "The customer simply places the order; Sanonpipe handles the rest."

**Outlook: Low-Carbon Steelmaking and Hydrogen Pipelines Set to Become the Next Technological Frontiers**
Industry observers point out that the next phase of technological competition within the seamless steel pipe sector will focus on two key areas: first, the certification of "Green Steel" pipes characterized by low carbon emissions; and second, the research and development of hydrogen-embrittlement-resistant alloy pipes specifically designed for hydrogen transportation pipelines.

"Regardless of market fluctuations, Sanonpipe’s core positioning remains constant: to serve as the most hassle-free steel pipe partner for global clients—backed by stable inventory, transparent pricing, and professional, one-stop services."

**About Sanonpipe**
Sanonpipe is a specialized, one-stop supplier of carbon steel pipes, alloy steel pipes, welded pipes, and square/rectangular tubes. We maintain a standing inventory of approximately 20,000 tons, comprising seamless steel pipes (including boiler tubes, line pipes, petrochemical tubes, heat exchanger tubes, and mechanical tubing), as well as welded pipes and square/rectangular tubes. Our products strictly adhere to international standards such as ASTM, ASME, and GB. Our material grades cover a wide spectrum—including SA106B, 20G, P5/P9/P11/P12/P22/P91/P92, 15CrMoG, and 12Cr1MoVG—and are widely utilized across the power generation, petrochemical, pressure vessel, and mechanical manufacturing sectors.

**Media Contact**
For more product information or to request the latest price quotes, please visit our official website: sanonpipe.com