Turkish Conglomerate Boosts US Steel Pipe Production with $68 Million Investment
Borusan Holding, a prominent Turkish conglomerate, has announced a significant $68 million investment in its US-based subsidiary, Borusan Pipe. This substantial funding will enhance the company’s large-diameter steel pipe production facility in Panama City, Florida, further solidifying its presence in the global market.
Strengthening Local Manufacturing Capabilities
As a local manufacturer, Borusan Pipe aims to bolster its position in the US steel pipe market. The upgraded facility, scheduled to commence operations in 2027, will integrate cutting-edge pipe-forming technology, enabling the production of smaller-diameter pipes and thicker walls. This advancement will cater to critical market needs, particularly in the oil and gas transportation, offshore projects, and renewable energy infrastructure sectors.
Advanced Technology for Enhanced Product Range
The Panama City facility will employ a three-step process to shape large-diameter steel pipes, involving the formation of flat steel plates into “J,” “C,” and finally “O” shapes. This innovative approach will broaden Borusan Pipe’s product range, producing pipes with diameters ranging from 16″ to 60″ and wall thicknesses of up to 2″. Notably, the company will be the only US-based manufacturer utilizing this technology.
Meeting Changing Market Demands
According to Ugur Onbasi, President of Borusan Berg Pipe, the new capabilities will enable the company to meet the evolving demands of the onshore and offshore pipeline sectors. This investment marks a significant milestone in Borusan Pipe’s US expansion, which began about ten years ago with a $150 million investment in Baytown, Texas.
Expanding US Footprint
The company’s acquisition of Berg Pipe in 2023 added facilities in Florida and Alabama, increasing its US production capacity to approximately one million tons annually. Last year, Borusan Pipe invested an additional $50 million in its Baytown operations, further demonstrating its commitment to the US market. With this latest investment, the company is poised to strengthen its position as a leading steel pipe manufacturer in the region.
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