𝗔𝗣𝗜 𝗔𝗱𝘃𝗶𝘀𝗼𝗿𝘆 𝟭𝟭: 𝗔 𝗦𝗶𝗴𝗻𝗶𝗳𝗶𝗰𝗮𝗻𝘁 𝗦𝘁𝗲𝗽 𝗧𝗼𝘄𝗮𝗿𝗱 𝗠𝗮𝗻𝘂𝗳𝗮𝗰𝘁𝘂𝗿𝗶𝗻𝗴 𝗔𝗰𝗰𝗼𝘂𝗻𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆

𝗔𝗣𝗜 𝗔𝗱𝘃𝗶𝘀𝗼𝗿𝘆 𝟭𝟭: 𝗔 𝗦𝗶𝗴𝗻𝗶𝗳𝗶𝗰𝗮𝗻𝘁 𝗦𝘁𝗲𝗽 𝗧𝗼𝘄𝗮𝗿𝗱 𝗠𝗮𝗻𝘂𝗳𝗮𝗰𝘁𝘂𝗿𝗶𝗻𝗴 𝗔𝗰𝗰𝗼𝘂𝗻𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆

The API has released a working draft to update API Advisory 11—Manufacturing Requirements and Manufacturing Capabilities, with industry feedback invited until 𝟭𝟭 𝗦𝗲𝗽𝘁𝗲𝗺𝗯𝗲𝗿 𝟮𝟬𝟮𝟲.

The message is clear: An API Monogram licensee must represent genuine manufacturing capability and not merely assembly, inspection, testing, trading or coordination of outsourced production.

The draft clarifies that:

𝗙𝗼𝗿 𝗮 𝘀𝗶𝗻𝗴𝗹𝗲-𝗽𝗶𝗲𝗰𝗲 𝗽𝗿𝗼𝗱𝘂𝗰𝘁, the licensed facility is expected to transform raw material into the conforming product through an in-house manufacturing process, such as machining.
𝗙𝗼𝗿 𝗮𝘀𝘀𝗲𝗺𝗯𝗹𝗲𝗱 𝗲𝗾𝘂𝗶𝗽𝗺𝗲𝗻𝘁, the licensee must, at minimum, perform meaningful assembly at the licensed facility.
𝘐𝘯𝘴𝘱𝘦𝘤𝘵𝘪𝘰𝘯, 𝘵𝘦𝘴𝘵𝘪𝘯𝘨, 𝘥𝘦𝘴𝘪𝘨𝘯, 𝘥𝘪𝘴𝘵𝘳𝘪𝘣𝘶𝘵𝘪𝘰𝘯, 𝘤𝘰𝘢𝘵𝘪𝘯𝘨, 𝘳𝘦𝘱𝘢𝘪𝘳 𝘰𝘳 𝘴𝘪𝘮𝘱𝘭𝘦 𝘥𝘪𝘴𝘮𝘢𝘯𝘵𝘭𝘪𝘯𝘨 𝘢𝘯𝘥 𝘳𝘦𝘢𝘴𝘴𝘦𝘮𝘣𝘭𝘺 𝘢𝘭𝘰𝘯𝘦 𝘥𝘰 𝘯𝘰𝘵 𝘤𝘰𝘯𝘴𝘵𝘪𝘵𝘶𝘵𝘦 𝘮𝘢𝘯𝘶𝘧𝘢𝘤𝘵𝘶𝘳𝘪𝘯𝘨.
𝘈𝘗𝘐 𝘮𝘢𝘺 𝘥𝘦𝘵𝘦𝘳𝘮𝘪𝘯𝘦 𝘵𝘩𝘢𝘵 𝘮𝘪𝘯𝘪𝘮𝘢𝘭 𝘢𝘴𝘴𝘦𝘮𝘣𝘭𝘺 𝘪𝘴 𝘪𝘯𝘴𝘶𝘧𝘧𝘪𝘤𝘪𝘦𝘯𝘵 𝘸𝘩𝘦𝘯 𝘪𝘵 𝘥𝘰𝘦𝘴 𝘯𝘰𝘵 𝘱𝘳𝘰𝘷𝘪𝘥𝘦 𝘴𝘪𝘨𝘯𝘪𝘧𝘪𝘤𝘢𝘯𝘵 𝘢𝘥𝘥𝘦𝘥 𝘷𝘢𝘭𝘶𝘦.

𝗪𝗵𝘆 𝗶𝘀 𝘁𝗵𝗶𝘀 𝗶𝗺𝗽𝗼𝗿𝘁𝗮𝗻𝘁?

The oil and gas industry increasingly depends on complex global supply chains. Some manufacturers outsource machining, heat treatment, welding, coating, NDE and component manufacturing while retaining only final assembly and testing and claim monogram license.

Outsourcing itself is not entirely prohibited. However, the licensee must remain accountable for:

Supplier qualification, requirements, and monitoring and controls
Special-process validation

This is a significant move by API to prevent the Monogram from becoming a certificate attached to a facility with insufficient manufacturing capability.

𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗶𝗺𝗽𝗮𝗰𝘁

Manufacturers may need to reassess whether their licensed facilities retain adequate in-house capability. Organizations heavily dependent on subcontract manufacturers should strengthen supplier controls..

Operators and purchasers should also look beyond certificate validity. Supplier qualification should verify:

  • Where was the product actually manufactured?
  • Who performed the critical processes?
  • How were those processes controlled?
  • Does the licensed facility possess the capability represented by its Monogram scope?

This clarification can strengthen confidence in API-monogrammed products and will protect the credibility of the API Monogram Program.

Read Advisory 11⁠ https://lnkd.in/ddfsm4HX

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