The Chinese domestic steel pipe market has mostly seen a stable trend for seamless pipe prices in the past week, with some slight decreases also, while local welded pipe prices have softened.
As of January 29, in
China's three main steel markets, i.e., Shanghai, Guangzhou and Beijing, the average price of 20# (GB/T8162-1999) grade 108 mm x 4.5 mm seamless pipe now stands at $556/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $589/mt. Meanwhile, on the same date, Q195-215 grade 48 mm x 3.25 mm welded pipe and Q215-235 grade 114 mm x 3.75 mm welded pipe prices in the above markets are standing at $437/mt and $444/mt respectively. All the above prices include 17 percent VAT.
Local Chinese seamless pipe prices have mostly moved sideways in the past week, with some slight downticks seen also. Minor decreases in billet prices and slow trading activity have contributed to the downticks in question. It is believed that, if billet prices continue to decline, then domestic seamless pipe prices may see some decreases, though only by small margins as the room for downward price movement is limited.
The Chinese domestic welded pipe market has continued to decline during the past seven days. Overall trading activity is still slack, while upstream steel strip prices have softened further, though by got a smaller margin. Traders are trying to increase their sales volumes amid the current slack demand situation. For the coming week, it is thought that domestic prices of welded pipes may continue to decrease, but at a slower rate.