The past month has not brought any significant changes to the Saudi welded pipe market as demand in the domestic and foreign markets still lacks sufficient strength. Meanwhile, quality Saudi Arabian producers are fully provided with orders from Saudi Aramco. Domestic and export quotations of locally produced ERW pipes have remained at previous levels, while offers of Chinese welded pipes have declined by $10-20/mt over the past month. Business activity in the Saudi welded pipe market is expected to strengthen after the Feast of Sacrifice holiday in early October and up to the end of the year as construction and infrastructure project activity is likely to increase.
Commercial-quality welded pipes with 3"-4" diameter made of steel grade A, B as per ASTM A53 are still available to local buyers at $840-850/mt delivered, while 1"-2" ERW pipes are offered at $870-885/mt delivered (here and below on theoretical weight basis).
Quality Saudi Arabian manufacturers, approved by state-owned national oil company Saudi Aramco, are offering 8"-10" welded steel pipes grade B as per API 5L with plain ends at around $930-970/mt ex-works. The same pipes with 5"-6" and 16" diameter are offered to local customers at $975-1,000/mt ex-works and $1,230-1,255/mt ex-works, respectively.
Export quotations from Saudi Arabia of 8"-10" welded steel pipes grade B made to API 5L from quality producers are at $980-1,020/mt FOB, while export offers of 1"-4" ERW pipes from Saudi commercial producers are at $865-910/mt FOB.
Import offers of Chinese welded pipes, 2"-6" grade B made to ASTM A106/API 5L, are being given to the local Saudi market at around $630-660/mt CFR, $10-20/mt lower compared to one month ago.