Exporting Casing and Tubing to the US — Drilling Contractors
Casing and tubing are the backbone of oil and gas well construction, providing structural integrity and enabling production from the wellbore to the surface. For US drilling contractors, the reliable supply of these tubular goods—manufactured to strict American Petroleum Institute (API) specifications—is essential for maintaining drilling schedules and ensuring well safety. With US crude oil production reaching record levels and the number of active rigs fluctuating around 600 to 800 in recent years, demand for casing and tubing remains robust [1]. This page provides a comprehensive guide for suppliers in Latin America and Africa seeking to export casing and tubing to US drilling contractors, covering product specifications, supplier landscape, buyer requirements, certifications, pricing context, and how Coppermont facilitates these cross-border transactions.
Product Specifications and API Grades
Casing and tubing are differentiated by their function and application. Casing is the large-diameter pipe that is cemented into the wellbore to isolate formations, prevent collapse, and protect groundwater. Tubing is the smaller-diameter pipe through which oil and gas flow to the surface. Both are manufactured in various grades, sizes, and connections to meet the demands of different well depths, pressures, and corrosive environments. The most common API specifications for casing and tubing are API 5CT, which covers seamless and welded pipe grades such as H-40, J-55, K-55, N-80, L-80, C-90, T-95, P-110, and Q-125 [2]. Each grade has specific yield strength and tensile strength requirements. For example, J-55 has a minimum yield strength of 55,000 psi and is often used for shallow wells, while P-110 with 110,000 psi yield is common for deeper, higher-pressure wells. Premium connections, such as those from VAM, Hydril, or Tenaris, are increasingly specified for high-pressure or high-temperature wells to ensure gas-tight seals. US drilling contractors prioritize pipe that meets API 5CT standards and often require additional testing such as electromagnetic inspection, hydrostatic testing, and third-party verification of chemical and mechanical properties. The American Petroleum Institute also publishes API 5B for threading, gauging, and thread inspection of casing, tubing, and line pipe [3]. Understanding these specifications is critical for any supplier aiming to enter the US market.
LATAM and Africa Supplier Landscape for Casing and Tubing
Latin America and Africa are significant producing regions for casing and tubing, with numerous mills and finishing facilities that supply both domestic and export markets. In Latin America, Mexico is a major producer, home to Tenaris’s Tamsa mill in Veracruz, which produces seamless pipe for the oil and gas industry. Brazil’s Vallourec and Tubos e Conexões also supply casing and tubing, often leveraging proximity to the US Gulf Coast for shorter lead times. Colombia and Argentina have smaller but growing capabilities, with mills focusing on grades up to L-80 and N-80. In Africa, Nigeria and Egypt have established pipe mills, with Egyptian producers such as El Sewedy and El Kharafi supplying API-certified products to regional and international markets. South Africa’s ArcelorMittal South Africa produces seamless pipe for oil and gas applications. However, the African supplier landscape is more fragmented, with capacity constraints and logistical challenges that can affect reliability. Across both regions, suppliers must demonstrate consistent quality, adherence to API standards, and the ability to deliver large volumes on tight schedules to compete with established US and Canadian mills like US Steel, Tenaris’s Bay City facility, and TMK IPSCO. The US imported approximately 2.5 million metric tons of oil country tubular goods (OCTG) in 2022, with South Korea, Mexico, and Brazil as top sources [4]. This indicates ample opportunity for Latin American and African suppliers to capture market share, especially if they can offer competitive pricing and reliable logistics.
US Buyer Types—How Drilling Contractors Procure and What Specs Matter
US drilling contractors are the primary buyers of casing and tubing, ranging from small independent operators with a few rigs to large multinationals like Patterson-UTI, Nabors Industries, Helmerich & Payne, and Precision Drilling. These contractors procure casing and tubing through direct purchases from mills, distributors, or service companies. Procurement decisions are driven by well design, which dictates the casing program—the sequence of casing sizes, grades, and setting depths. Contractors often work with engineers to specify the exact requirements for each well, including connection type, drift diameter, and collapse resistance. For example, a deep well in the Permian Basin might require a combination of surface casing (J-55 or K-55), intermediate casing (L-80 or N-80), and production casing (P-110 or Q-125), with premium connections for high-pressure zones. Tubing for the same well would typically be N-80 or L-80, possibly with corrosion-resistant alloys if the produced fluids are sour. Contractors also consider total cost of ownership, including pipe price, transportation, handling, and potential delays. They value suppliers who can provide mill certificates, third-party inspection reports, and traceability from melt to final product. Many contractors maintain approved vendor lists and require suppliers to undergo audits. The US market is highly competitive, with contractors often seeking just-in-time delivery to minimize inventory carrying costs. Lead times from Latin American mills can range from 8 to 16 weeks for standard grades, while African suppliers may face longer lead times of 12 to 20 weeks due to shipping distances and port congestion [5]. Reliable delivery is as important as price, as delays can idle rigs and cost tens of thousands of dollars per day.
Certifications and Import Requirements
Certifications and import requirements for casing and tubing into the US are stringent and non-negotiable. The primary certification is API 5CT, which covers the manufacturing and testing of casing and tubing. Many US buyers also require API Q1 or ISO 9001 quality management system certification. For premium connections, suppliers must have API 5B or API 7-2 certification for thread gauging and inspection. Additionally, the US Department of Commerce’s Bureau of Industry and Security (BIS) may require an export license for certain high-grade materials if they are destined for sensitive end-uses, but for standard OCTG imports, no special license is needed. However, all imports must comply with US Customs and Border Protection (CBP) regulations, including proper HTS classification (typically 7304.29 for seamless casing and tubing or 7305.11 for welded line pipe), valuation, and country of origin marking. The US imposes antidumping and countervailing duties on OCTG from some countries, such as South Korea and India, but Latin American and African suppliers are generally not subject to these duties unless specific investigations are launched [6]. Suppliers must also ensure their pipe meets US environmental and safety standards, including those from the Occupational Safety and Health Administration (OSHA) for handling and transport. To avoid delays and penalties, it is advisable to work with a customs broker experienced in OCTG imports. Third-party inspection by companies like SGS, Bureau Veritas, or Intertek is often required by buyers to verify compliance before shipment.
Pricing and Lead Time Context
Pricing for casing and tubing is influenced by global steel prices, raw material costs (especially iron ore and scrap), mill capacity utilization, and demand from the oil and gas sector. As of early 2025, prices for API 5CT J-55 casing (4.5-inch OD) range from approximately $1,200 to $1,500 per metric ton FOB mill, while P-110 casing (7-inch OD) can cost $1,600 to $2,000 per metric ton [7]. Premium connections add $200 to $500 per ton depending on complexity and volume. Lead times from Latin American mills typically range from 8 to 16 weeks, while African mills may require 12 to 20 weeks, excluding ocean freight and customs clearance. Shipping costs from a Latin American port like Veracruz to Houston are relatively low, at $20 to $40 per metric ton, while from West Africa to the US Gulf Coast, freight can be $50 to $80 per ton due to longer transit times and limited container availability. Price volatility is a major concern; during periods of high oil prices and drilling activity, prices can spike, while downturns lead to oversupply and lower prices. Contractors often negotiate fixed-price contracts for large volumes or use index-based pricing tied to the Platts or Argus OCTG assessments. Suppliers should be prepared to offer competitive pricing while maintaining margins, and may consider hedging raw material costs to manage risk.
How Coppermont Connects Suppliers to Drilling Contractors
Coppermont connects suppliers of casing and tubing in Latin America and Africa with US drilling contractors, streamlining the entire export process from sourcing to delivery. Our team of trade advisors has deep experience in the OCTG market, understanding the technical specifications, certification requirements, and commercial dynamics that drive procurement decisions. We help suppliers identify qualified buyers, prepare compliant documentation, and navigate customs and logistics. For US drilling contractors, we provide vetted supplier options that meet API standards, offer competitive pricing, and demonstrate reliable delivery. Whether you are a mill in Mexico looking to expand your US customer base or a drilling contractor in the Permian Basin seeking an alternative supply source, Coppermont facilitates the connection. We conduct due diligence on suppliers, verify certifications, and assist with contract negotiation to ensure both parties achieve their goals. Our platform also provides market intelligence, including pricing trends and regulatory updates, to help you make informed decisions. Contact us today to discuss your casing and tubing needs—whether you are a supplier ready to export or a buyer seeking a trusted partner.
Ready to Source or Supply Casing and Tubing?
Ready to source or supply casing and tubing for US drilling contractors? Coppermont offers end-to-end advisory services to connect Latin American and African suppliers with US buyers. For suppliers, we provide market entry support, buyer introductions, and logistics coordination. For US drilling contractors, we offer a curated network of API-certified mills and finishing facilities. Get in touch with our team to start the conversation.
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