Chinese domestic steel pipe market mostly moves on slightly soft trend

The local Chinese steel pipe market has mostly moved on a slight downtrend in the past week, with some prices also trending sideways.

As of September 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 $522/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $538/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 460/mt and $459/mt respectively. All the above prices include 17 percent VAT.

Prices in the local Chinese seamless pipe market have moved either sideways or down slightly in the past seven days, while overall trading activity has been at normal levels. Upstream billet prices have decreased but low seamless pipe inventory levels have provided support for traders to keep their prices stable or just reduce them slightly. It is believed that domestic seamless pipe prices will mainly move sideways in the week ahead.

The Chinese domestic welded pipe market has moved on a slightly soft trend in the past week especially due to the weakness of steel strip prices. Overall trading activity for welded pipes has remained sluggish, with demand not showing the improvement traders were anticipating. As for the coming week, it is thought that Chinese welded pipe traders may reduce their domestic prices slightly in order to attract greater demand. 

17 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.66