In a fuel rod tube manufacturing system, a tube processing subsystem and method include the steps of arraying, flush etching and rinsing, drying, inspecting and plugging groups of the tubes. At an inlet stage, the tubes are dispensed one at a time from a bundle thereof numbering in the hundreds of such tubes. The dispensed tubes are arrayed in a side-by-side relationship at an assembling stage into a group thereof numbering in the fives of such tubes. Successive groups of the arrayed tubes are delivered to succeeding etch and rinse, drier, and inspection stations where the groups of arrayed tubes are respectively flush etched and rinsed, dried, and inspected. After inspection, accepted tubes are separated from rejected ones and conveyed one at a time to a plug stage where the tubes are plugged to seal the interiors thereof.
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