Welspun Corp to Expand Pipe Business in India and U.S.

3 Jun 2025 , 11:25 PM

Welspun Corp is ramping up its presence in the pipe manufacturing sector with major expansion plans in India and the United States. The company manufactures pipes for oil & gas, water infrastructure, and hydrogen transport, and is now introducing a new product, the Sintex OPVC pipe.

Managing Director & CEO Vipul Mathur called Sintex OPVC a potential game changer, with production beginning in Bhopal across two lines and future expansion planned in Raipur and southern India. Over the next 9 to 15 months, Welspun aims to roll out a total of six production lines for the new product.

Welspun holds a strong position in the U.S. pipe market, with an order book of ₹19,500 crore and no impact from import tariffs, as the company produces locally using domestic steel.

The firm is investing ₹1,000 crore in capacity expansion, focusing on High-frequency Induction Welding (HFIW) and Longitudinal Submerged Arc Welded (LSAW) pipe segments, particularly in demand for hydrogen transport and LNG terminal projects.

These segments require heavy-duty pipes, such as 24-inch lines, which Welspun was previously unable to manufacture but will now be able to with the new capacity.

In the U.S., the company sees opportunities from the growing need for oil, gas, and carbon capture pipelines, especially due to import restrictions creating space for local manufacturers. Welspun currently holds a 30% market share in the U.S. line pipe segment and plans to produce 150,000 to 200,000 tonnes of pipe, with current pricing around $2,000 per tonne.

In India, Welspun’s oil & gas and water infrastructure businesses remain strong, with LSAW plants fully booked for over a year.  In terms of financial performance, Welspun reported a 12% YoY decline in revenue from operations in Q4 FY25, posting ₹3,926 crore versus ₹4,461 crore in the same quarter last year.

The company also announced a new greenfield LSAW pipe manufacturing facility in the U.S., with an investment of $125 million. As of now, Welspun Corp’s market capitalization stands at ₹23,984.78 crore, and its stock has delivered over 65% returns in the past year.

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