Due to the rather weak demand for Indian seamless pipes, Indian producers' expectations of a rising price trend have not been fulfilled. Indian offers for the external markets have decreased by a maximum of $50/mt over the past month, while offers for the domestic markets have declined by INR 2,000-4,000/mt ($35-75/mt considering currency fluctuations). Seamless pipe producers in India think that local seamless pipe prices may reach the bottom soon. Indian traders are currently very cautious as regards placing orders as their stocks are full and as demand levels are too low.
Most Indian producers are offering seamless pipes 3"-10" grade B made to ASTM A106 to the domestic market at around INR 43,000-44,000/mt ex-works ($895-915/mt) on theoretical weight basis, excluding tax. At the same time, the largest quality producers are quoting seamless pipes 2"-4" grade B made to ASTM A106 at about INR 48,120-50,140/mt ex-works ($1,000-$1,040/mt) to the domestic market.
The majority of export offers of Indian seamless pipes 1"-6" grade B as per ASTM A106 are standing at around $940-950/mt FOB. Meanwhile, export quotations of the same pipes, 2"-4", from the main Indian pipe producers are at the level of $1,060-1,100/mt FOB.
Offer prices of Chinese seamless steel pipes for the Indian market have changed their direction and have started to fall, by $30-70/mt on average during the period under review. Current quotations of Chinese seamless pipes 1"-6" grade B made to ASTM A106/API 5L are at $730-790/mt C&F on theoretical weight basis.