Slack demand for welded pipes from both local and foreign buyers along with the downward trend in the flat steel segment have forced Bulgarian pipe producers to cut their prices. Over the past two weeks, export quotations for Bulgarian welded pipes have declined by €15-20/mt, while domestic prices have moved down by BGN 20-30/mt ($10-16/mt). Demand for Bulgarian welded pipes from local customers remains limited by the weak business activity in the construction sector, while foreign buyers are very cautious about concluding purchases of large tonnages due to the uncertain market situation. In the coming period, welded pipe prices in Bulgaria may continue their downward trend due to lower substrate costs and sluggish buying activity.
Current offers of locally produced welded pipes and hollow sections of 2-5 mm wall thickness made from S235JR grade hot rolled coil (HRC) according to EN 10219 are being given to the Bulgarian domestic market at around BGN 900-930/mt ($492-508/mt) ex-works, exclusive of 20 percent VAT and on theoretical weight basis.
Export quotations of Bulgarian ERW pipes and hollow sections of 2-5 mm wall thickness made from S235JR grade HRC as per EN 10219 are at levels of €445-470/mt ($476-503/mt) ex-works on theoretical weight basis.
In particular, export offers of Bulgarian pipes to Germany are at levels of €445-460/mt ($476-492/mt) ex-works, while offers to Poland and Hungary are at €460-470/mt ($492-503/mt) ex-works. Export quotations of Bulgarian water and gas pipes according to EN 10255 are at €470-500/mt ($503-535/mt) ex-works.
$1 = BGN 1.83
€1 = $1.07