# Gas pipelines and city gas and Steel

Gas pipelines and city gas needs steel; their prices have moved together.

Source page: https://www.materialinsights.org/links/gas-pipelines-and-city-gas-and-steel/

[Gas pipelines and city gas](https://www.materialinsights.org/energy/e_gas_pipelines/) (energy) and [Steel](https://www.materialinsights.org/commodities/steel/) (commodity): 2 relationships.

## How they are linked

### 1. Material need

*Physical flow · Direct · Steel → Gas pipelines and city gas*

Building or running Gas pipelines and city gas needs steel.

### 2. Price link: pipe material

*Cost and price · Strong · Both ways*

Transmission pipelines use steel line pipe, so steel affects the cost of new lines and therefore network charges. Yearly moves correlate at 0.68, partly because both prices follow general energy and industrial inflation.

- **0.18** monthly change correlation
- **0.68** 12-month change correlation
- **0.52** fitted elasticity

Built from the site data on production routes, energy flows, industry value chains, input-output tables and prices.
