The Chinese domestic steel pipe market has been mostly stable in terms of seamless pipe prices in the past week, while it has witnessed slight downticks in welded pipe prices.
As of June 19, 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 $653/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $696/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 $562/mt and $568/mt respectively. All the above prices include 17 percent VAT.
China's domestic seamless pipe market has generally followed a stable trend during the past week, while overall trading activity has been slack against a backdrop of high inventory and supply. Most traders hold a negative view of the future prospects for the market. For the coming week, it is believed that the market will mostly be characterized by a stable trend, though some downticks may also be seen as traders may adjust prices in order to attract business.
China's local welded pipe market has indicated a slight decrease during the past week, mainly due to the overall low level of trading activity, as traders have cut prices slightly in order to conclude deals. Traders have mostly been purchasing welded pipes just in line with their needs and do not want to build up high stock levels as they lack confidence in the market. It is thought that the market will continue to see a soft trend in the coming week.