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With its admission to the World Trade Organization (WTO) imminent, Russia must adjust the way it runs its pipeline manufacturing industry so as to sustain international competition and protect the domestic market.
Based on the total production output in 2006, the Vyksunsky Metallurgical Plant (VMP), a business unit of the United Metallurgical Company (OMK), was ranked No.1 worldwide manufacturer of large diameter pipes (LDP). By the end of 2006, the VMP's overall production of LDP reached 850,000 tons; the annual production of Nippon Steel and Sumitomo will approximate 500,000 tons.
In recent years, growth in the pipe industry has been driven by the production of large diameter pipes (LDP). However, after a successful year in 2007, some experts expect LDP production to fall in 2008