By the beginning of the month of Ramadan, the welded pipe market in Iran showed signs of improvement and most traders had decided to restock before possible price growth in September. Iranian pipe makers have lifted their prices on the back of better demand and rising flat products quotations. Over the past five weeks local Iranian producers' domestic prices for black welded pipes and hollow sections made from HRC have increased by $70-80/mt, while local stockists' prices have moved up by $30-55/mt over the period under review. As Ramadan is continuing, welded pipe prices will not go up until the end of September. It is unlikely that prices will drop, while no sudden upward surge is foreseen for the post-Ramadan period. Welded pipe producers expect to see price stability in the coming period as no construction boom is anticipated either. Ramadan market sentiment and uncertainties regarding government subsidy reform do not give any bright hopes to market players for the immediate future. As market sources state, welded pipe prices will depend solely on the price trend for flat steel products.
Iranian producers' current domestic prices for welded pipes of ½"-8" size with 2 mm wall thickness made to EN 10219 or DIN 2394 from S235JR grade HRC are at $760-800/mt ex-works. Prices are exclusive of three percent VAT. Offers of 25 x 25 mm - 110 x 110 mm hollow sections with 2-6 mm wall thickness made to EN 10219 or DIN 2395 are being given on average at $750-800/mt ex-works. Current domestic prices of Iranian 6"-14" welded pipes grade B made to ASTM A53 are at the level of $810-860/mt ex-works.
Local stockists' prices for welded pipes of ¾"-3" size from Iranian producers are at about $885-900/mt ex-warehouse, compared to $830-870/mt ex-warehouse five weeks ago. Offers of 20 x 20 mm - 100 x 100 mm hollow sections ex-warehouse Tehran are on average at $770-785/mt, compared to $670-685/mt ex-warehouse five weeks ago.
Chinese welded pipes, 2"-6" grade B made to ASTM A53/API 5L, are currently being offered to the Iranian market at around $795-840/mt C&F Bandar Abbas, $40/mt higher than one month ago.
Iranian stockists' prices for local production welded pipes
($/t, ex-warehouse, cash payment)
Diameter Price Change*
3/4" 900 +35
1" 890 +30
1 1/4" 890 +35
1 ½" 900 +30
2" 895 +35
2 ½" 885 +55
3" 900 +55
*over the past five weeks