Local Chinese steel pipe market mostly trends sideways

The local Chinese steel pipe market has mostly indicated a stable trend during the past week.  

 

As of January 28 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 $404/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $422/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 $340/mt and $345/mt respectively. All the above prices include 17 percent VAT. 

The local Chinese seamless pipe market has trended sideways in the past week. Overall trading activity is at very low levels. Meanwhile, upstream billet prices have remained stable, while downstream demand for seamless pipes is weak due to the approach of the Chinese New Year holiday. Most traders hold a negative view of the future prospects for the market. As for the coming week, most trading activities will grind to a halt and prices will likely remain stable.

The Chinese domestic welded pipe market has mainly followed a stable trend in the past week, though with slight decreases seen in prices of certain products. Upstream steel strip prices have only indicated minor fluctuations, while trading activity for welded pipe has been slack. Most traders are already on holiday, while some small traders are still trying to collect cash before the New Year break. As for the week ahead, the local welded pipe market is expected to trend sideways in the coming week.

 

 

17 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.58