Iranian producers of welded pipes have started to reduce their quotations again. Although demand for welded pipes is steady in the Iranian market, it cannot be described as lively. The current market atmosphere is characterized by a lack of hope. Welded pipe consumers are very cautious about buying products and this situation will continue unless construction activities start to get underway. Over the past six weeks local Iranian producers' domestic prices for black welded pipes and hollow sections made from HRC have decreased by $10-20/mt despite the rising cost of production. Local stockists' prices have also seen a downward correction of $10-50/mt over the period under review. Most flat product offers to Iranian traders from both local producer Mobarakeh Steel and from foreign CIS suppliers have gone up. The transaction volume for flat products is low and for the time being is not expected to recover. Most market players believe that Mobarakeh will reduce its price; however, even if Mobarakeh maintains its current price level, the prospects for the market are not great as the next four months in Iran are a lull period which also includes holidays.
Current domestic prices for Iranian welded pipes of ½"-8" size with 2-6 mm wall thickness made to EN 10219 or DIN 2394 from S235JR grade HRC are at $740-750/mt ex-works. 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 $740-750/mt ex-works. Current domestic prices of Iranian 6"-14" welded pipes grade B made to ASTM A53 are at the level of $850/mt ex-works.
Local stockists' prices for welded pipes of ½"-3" size from Iranian producers are at about $880-990/mt ex-warehouse, compared to $930-1,010/mt ex-warehouse six weeks ago. Offers of 30 x 30 mm - 100 x 100 mm hollow sections ex-warehouse Tehran are on average at $680/mt, compared to $780/mt ex-warehouse six 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 $690-730/mt C&F Bandar Abbas, $30-40/mt higher than six weeks ago.
Iranian stockists' prices for local production welded pipes
($/t, ex-warehouse, cash payment)
Diameter Price Change*
1/2" 990 -20
3/4" 980 -20
1" 980 -10
1 1/4" 975 -20
2" 980 -10
3" 880 -50
* over the past six weeks