Demand for Saudi Arabian welded pipes from both the domestic market and Gulf countries has remained firm because of a number of ongoing projects despite the month of Ramadan and the end-of-Ramadan holiday which has just concluded. As a result, the Saudi Arabian welded pipe market has remained stable over the past month. The conclusion of Ramadan in the Middle Eastern countries will favor the growth of buyer activity in the market as steel consuming projects will pick up speed. Accordingly, it is likely that Saudi welded pipe producers will try to increase their quotations in the coming period.
Quality Saudi Arabian manufacturers, approved by state-owned national oil company Saudi Aramco, are offering 6"-10" welded steel pipes grade B as per API 5L with plain ends at around $1,000-1,050/mt ex-works on theoretical weight basis, while 16" pipes are at about $1,300/mt ex-works.
Current offers from Saudi Arabian commercial producers for 2"-8" ERW pipes grade A, B as per ASTM A53 are being given to the domestic market at $930-980/mt delivered on theoretical weight basis.
Export quotations from Saudi Arabia of 6"-10" welded steel pipes grade B made to API 5L from quality producers are at $1,050-1,100/mt FOB, while export offers of 2"-8" ERW pipes from Saudi commercial producers are at $950-1,000/mt FOB.
Import offers of Chinese welded pipes of 2"-6" grade B made to ASTM A106/API 5L are being given to the local Saudi market at around $760-780/mt CFR, $20-40/mt lower than one month ago.