Overall lackluster activity in Chinese domestic steel pipe market

The local Chinese steel pipe market has mostly moved on a stable trend during the past seven days.  

As of July 30, 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 $500/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $513/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 $387/mt and $391/mt respectively. All the above prices include 17 percent VAT.

The Chinese domestic seamless pipe market has moved sideways during the past week, while overall trading activity has remained at low levels because of the hot weather. Downstream demand is also very weak. Billet prices in the past week first moved up and then decreased, but traders have kept their seamless pipe prices stable for now. The sideways movement of local Chinese seamless pipe prices is expected to continue in the week ahead. 

The local Chinese welded pipe market has mostly followed a stable trend in the past week, though with some slight upticks also seen due to increases in steel strip prices. However, most traders are choosing to keep their prices stable because of the sluggishness of trading activity. Market inventories at currently at low levels. As for the coming week, it is believed that domestic welded pipe prices may just indicate slight fluctuations. 

 

 

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

 

$1 = RMB 6.21