1 Economics, less steel is used to hold the same volume. Less time spent welding one seam.
2 Durability, the changing levels will cause the material on a flat side tank to bow in and out fatiguing the material quicker then if it where round. If we where to over come that by making the flat sides thicker then we are back to Economics. All so nature has shown us with the egg how durable a round surface is. Can take more punishment before being damaged.
3 The least of all Appearance, the flat side bowing in and out look bad. Plus the protective surface coatings don't hold up well with the flexing. ( Paint comes off quicker)
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Life is not a journey to the grave with the intention of arriving in a pretty, pristine body but rather to come sliding in sideways, all used up and exclaiming, "Wow, what a ride!"