The Chinese domestic steel pipe market has mostly moved on a stable trend in the past seven days, both for seamless and welded pipe prices.
As of February 5, 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 $554/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $586/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 $437/mt and $444/mt respectively. All the above prices include 17 percent VAT.
The local Chinese seamless pipe market has mostly moved sideways in the past week, though with some slight decreases seen also. With the Spring Festival holiday approaching, trading activity in the market has continued to decrease. Some traders have already started their holidays, but others are still hoping to conclude more deals before the holiday. Most traders are reluctant to build up stocks. For the coming week, the market trend is expected to be mainly stable.
China's domestic welded pipe market has followed a stable trend in the past week. Downstream demand from the construction sector has almost come to a halt. Demand in the market is at very low levels, especially due to the approach of the holiday. The stable trend in the local welded pipe market is expected to continue in the week ahead.