The Chinese seamless pipe market has continued to show signs of softness amid slack demand from downstream industries. Domestic seamless pipe prices of producers in China have decreased by a maximum of RMB 50/mt ($8/mt) over the past three weeks amid quiet market activity. Chinese seamless pipe producers have cut their export offers by $10-30/mt over the past three weeks. However, the export performance shows no signs of a recovery at the moment as most foreign customers are cautious and prefer to watch the market. Market players believe seamless pipe prices in China are unlikely to move up in the short term in view of the soft demand from both overseas and local buyers.
Domestic prices of seamless pipes, 2"-8" grade B as per ASTM A106/API 5L, are at around RMB 6,000-6,150/mt ($965-989/mt) ex-works, including 17 percent VAT. Chinese domestic prices of 2"-6" seamless pipes according to GB/8162-8163 are varying at around RMB 5,000-5,100/mt ($804-820/mt) ex-works. Chinese ex-stock prices for 2"-8" seamless pipes according to GB/8162-8163 in Shanghai are at around RMB 3,850-4,050/mt ($619-651/mt) ex-warehouse, including 17 percent VAT.
Current export quotations from most Chinese manufacturers for 2"-12" grade B seamless pipes according to ASTM A106/API 5L are on average at $690-750/mt FOB. Also, some export offers of seamless pipes as per ASTM A106 of grade B at $660-670/mt FOB have been heard.
Export prices for 7"-9 5/8" casing pipes of J55 strength grade, as per API 5CT, plain ends, are at about $850-900/mt FOB, while 2 7/8"-3 1/2" tubing, plain ends, are at around $900-950/mt FOB.