The Chinese welded pipe market has witnessed an upward trend over the past three weeks amid higher flat steel prices. Domestic prices of welded pipes in China have increased by RMB 80-150/mt ($11-23/mt) over the period under review. However, export quotations have declined by around $20/mt over the past three weeks amid stagnant demand in the international market. Market insiders believe welded pipe prices in China will remain firm in the coming period amid higher purchasing costs but though demand from foreign and domestic buyers will likely still lack strength.
Current offers of locally produced 2"-6" welded pipes of grade B as per ASTM A53 are being given to the Chinese domestic market at an average of RMB 4,100-4,300/mt ($659-691/mt) ex-works, while quotations of Q195 hollow sections are varying in the range of RMB 3,600-3,650/mt ($579-587/mt) ex-works. These local market welded pipe prices include 17 percent VAT. Traders in Shanghai are offering Q215-Q235 welded pipes made to GB/T3091 at around RMB 3,580-3,630/mt ($575-584/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 3,440-3,500/mt ($553-563/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $600-630/mt FOB on actual weight basis.
$1 = RMB 6.22