Demand for high density polyethylene pipe (HDPE) and fiberglass continues to remain strong in the increasingly active Permian Basin and in other U.S. regions, such as the Rockies and the Northeast. Mills are nearing full capacity with the continued demand. As a result, production lead times are continuing to increase.
Current lead times for HDPE small diameter pipe (6” and below) are 18 to 24 weeks. Lead times for HDPE 8" and larger are running 16 to 20 weeks. Fiberglass pricing and lead times are expected to increase throughout 2022. Lead times for the Aliphatic and Red Thread product lines are running from 12 to 30 weeks, and production times for the Anhydride and Aromatic product lines are running into 2024. However, capacity is available from outside of the U.S. from fiberglass suppliers in Malaysia and the Kingdom of Saudi Arabia.
Project activity in this sector is expected to remain strong in 2022, with many projects on schedule to be completed before the end of the year.