Activity still slack in local Chinese steel pipe market

In the past week, the local Chinese steel pipe market has seen stable movement in terms of seamless pipe prices and downward movement of welded pipe prices.
 
As of October 8, 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 $464/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $469/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 $347/mt and $354/mt respectively. All the above prices include 17 percent VAT.
 
The Chinese domestic seamless pipe market has moved on a sideways trend during the past period, continuing the stable trend seen before the National Day Holiday (October 1-7). Although billet prices have softened slightly, seamless pipe prices have not been impacted as trading activity has almost been at a standstill due to the holiday season. It is believed that domestic seamless pipe prices may follow a slight downtrend in the coming week.
 
In the past seven days, the local Chinese welded pipe market has continued the soft trend seen before the holiday, influenced by the declines seen in steel strip prices. Overall trading activity is still slack. It is thought that the weak trend of local welded pipe prices will also continue in the week ahead.

All prices are ex-warehouse and include 17 percent VAT.
 
$1 = RMB 6.35