China's welded
pipe market has continued its weak trend as demand from consuming industries has shown no signs of being released. Domestic mills' offers have declined by RMB 70-100/mt ($11-16/mt), while local traders have cut their prices by RMB 30-100/mt ($5-17/mt) over the past fortnight. Export offers of welded pipes from Chinese producers have decreased by $20-30/mt during the period in question. Most buyers are maintaining a wait-and-see stance towards the market. Market participants do not expect any improvements in the near future and are mostly just hoping for price stabilization.
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 3,600-3,800/mt ($586-619/mt) ex-works, while domestic offers of welded pipes of grade Q195-235 are at levels of RMB 3,000-3,350/mt ($489-546/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 3,000-3,250/mt ($489-529/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 2,940-3,150/mt ($479-513/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $540-580/mt FOB on actual weight basis.
$1 = RMB 6.14