Seamless pipe prices in the Italian market have gone up for January production, propelled by slightly better demand, higher raw material prices and the euro's weakness against the dollar. Domestic and export quotations of Italian seamless pipes have increased by €100-130/mt during the past month. Over the same period, offers of Chinese material have moved up by €110-120/mt. Prices of Ukrainian seamless pipes for Italy have gone up by €50-60/mt in the past month. Import quotations of seamless pipes from Romania have soared by €50-60/mt, while offers from the Czech Republic have increased by €70-100/mt over the period under review. Despite some increase in buying on the eve of the Christmas/New Year holidays, amply supported by the two to three percent depreciation of the euro against the dollar in the space of a month, the tidings are still discouraging as demand lacks strength. The extremely confused and unstable political situation in the country does not help to improve market sentiment. The domestic seamless pipe market in Italy is expected to remain slack with poor consumption and caution among customers in the coming period. Nevertheless, exports of seamless pipes from Italy are expected to improve, relying mainly on strong demand from the automotive and oil and gas sectors. Global drilling activity is growing reflecting the stability of oil prices at attractive levels and increased investment in regional gas developments. Italian seamless pipe suppliers expect the recovery in drilling activity will continue in most markets in the coming year.
Current domestic prices for Italian seamless pipes of 6"-8" size grade B as per AST A106/API 5L are at about €1,150-1,200/mt ex-works, while 2"-5" seamless pipes are at around €1,020-1,100/mt ex-works.
Market sources report that export quotations of Italian (Tenaris Dalmine) seamless pipes of 6"-8" size Sch 40 grade B as per ASTM A106/API 5L are at €1,160-1,215/mt FCA (transportation overland) or €1,195-1,250/mt FOB (transportation by sea) for January-February production , excluding the trader's margin. Export offers of 10"-14" Sch 20, Sch 40 seamless pipes of steel grade B made to ASTM A106/API 5L are at around €1,280-1,365/mt FCA, while 16" Sch 20 pipes are at around €1,730/mt FCA.
Prices for Chinese seamless pipes 2"-6" grade B made to ASTM A106/API 5L are at about €770-820/mt C&F Italy, exclusive of antidumping (AD) duties (in the range of 17.7-39.2 percent depending on the producer).
January production Ukrainian 2"-6" seamless pipes ex-Interpipe grade B as per ASTM A106 are offered to the Italian market at around €800-820/mt DDU (25.1 percent AD duty is not included in this price range). Offers of Ukrainian (Interpipe) and Russian (TMK) seamless pipes of sizes up to 4" St37 grade made to EN 10255 are coming to Italy at around €970/mt DDU, exclusive AD duty.
Croatian seamless pipes 6"-10" grade B made to ASTM A53/API 5L are currently being offered to Italy at around $800-810/mt CPT, exclusive of 29.8 percent AD duty.
Prices for Romanian origin seamless steel tubes (ArcelorMittal Romania) 3"-10" grade B made to ASTM A106/API 5L are at about €930-950/mt CPT, while 12"-14" pipes are at €950-1,000/mt CPT.
January production of Czech 6"-10" seamless pipes (ArcelorMittal Ostrava), made to ASTM A106/API 5L, grade B, are quoted for Italian consumers at around €1,000-1,050/mt CPT.