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The properties of Cold drawn electric resistance welded, as drawn (CEW-AD) tubes and Electric resistance welded (ERW) tubes are vastly different. Deformation resistance of ERW tube is less than half that of CEW-AD tube, hence not preferred for structural applications, common practice being the use of CEW-AD tubes for Chassis cross members in vehicles. A new cost effective high strength ERW tube was developed which has been proved to be superior to the currently used CEW-AD tubes in terms of mechanical properties, formability, consistency and uniformity of the properties over the tube length. The newly developed tube through use of special micro alloy grade in ERW has made it possible to eliminate some of the manufacturing processes like annealing, phosphating, cold drawing etc. which has led to considerable cost saving.