As a rising sun industry, the tube industry in China is enjoying a golden era of fast growth. China's tube industry is bound to enter a fast developing period, which is determined by three factors as follows:
1. China's national economy will maintain the momentum of fast growth;
2. China is bound to undergo an energy structural reformation, i.e. from a structure with coal the major energy resource to one with petroleum and natural gas as the main energy resources, which are transported via pipelines;
3. Change of transportation means for finished oil products. In early period, nearly all shipment of finished oil products of China was done by train. Apart from the "Ge-La" pipeline for military use, there was nearly no pipeline for finished oil products transportation.

During the 10th Five-Year Plan, the steel tube industry developed rapidly, production of steel tube and that of steel products were growing at the same pace. The total number of newly developed real estate projects increased along with their construction scale, and constructions of major projects in China, such as Beijing Olympics Stadiums, the exhibition halls for Shanghai World Expo started on full scale. All of these will boost the demand for steel tubes for steel structures. The recovery of world economy continues in 2007, and demand for steel on the international market will still increase, which will create opportunities for the growth in export of steel product and in particular, for the export of steel tubes. Although the production of domestic steel tubes has increased in the past five years, 5% of the domestic demand still cannot be satisfied. It is anticipated that a growth peak will come as the demand from international and domestic market rises remarkably.