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Jindal Saw cannot use global quality stamp on some pipes after audit flags compliance gaps

Published on 18/02/2026 05:17 PM

Jindal Saw cannot use global quality stamp on some pipes after audit flags compliance gapsJindal Saw's API licence for seamless pipes is suspended by the American Petroleum Institute due to audit issues, restricting API monogram use.By CNBCTV18.com February 18, 2026, 5:17:30 PM IST (Published)2 Min ReadJindal Saw Limited has informed stock exchanges that its API licence relating to seamless pipes has been suspended following observations made during an audit by the American Petroleum Institute (API).

In a filing to the BSE and NSE, the company said that certain “non-conformances” (NCs) were identified during the API audit, prompting the issuance of a suspension letter. The suspension restricts the company from affixing the API monogram on its API seamless pipes until the matter is resolved.

API licences issued by the American Petroleum Institute allow manufacturers to affix the API “monogram” on products such as seamless pipes. The monogram signals compliance with global oil and gas industry standards, including specifications such as API 5L for line pipes. It also certifies that the company’s quality management system (QMS) complies with API Spec Q1 and applicable product specifications, serving as a key mark of quality for clients in the energy sector.

It is pertinent to note that Jindal Saw Limited manufactures iron and steel pipes and pellets for oil/gas, water, and industrial uses.

According to the disclosure, the suspension stems from certain deviations observed during the audit. While the company has not detailed the exact nature of the NCs in the main filing, Annexure A refers to the audit findings and the suspension notice issued by API.

The suspension means that any seamless pipes manufactured and marked after the issuance of the suspension letter cannot carry the API monogram or claim API compliance. This could potentially affect sales to oil and gas clients that mandate API-certified products.

However, Jindal Saw indicated that the financial impact may not be material. The company said its seamless pipe manufacturing capacity is fungible and has, for the time being, been allocated to other products pending revocation of the suspension.

“The matter is being addressed suitably with API,” the company said in its filing, adding that it is taking appropriate corrective measures to address the NCs and will update stock exchanges on any material developments.

The current API licence was valid until April 6, 2026, as per the company’s disclosure.Continue ReadingTagsJindal Sawlicence