Sluggish demand persists in local Chinese steel pipe market

The local Chinese steel pipe market has moved on an upward trend during the past week.

 

As of August 4 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 $480/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $503/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 $423/mt and $432/mt respectively. All the above prices include 17 percent VAT. 

 

The local Chinese seamless pipe market has moved on a rising trend during the past seven days on the back of higher billet prices, despite the ongoing slackness of trading activity. Lack of confidence among traders causes them to keep their inventories at low levels, which also  provides support for seamless pipe prices. Most traders are maintaining a wait-and-see stance at present. As for the coming week, it is believed that domestic seamless pipe prices will just indicate slight fluctuations. 

The Chinese domestic welded pipe market has followed a slight uptrend in the past week due to increases in steel strip prices, though trading activity has been very sluggish amid hot weather conditions. In the coming week, domestic welded pipe prices may soften slightly due to low demand.  

 

 

 

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

 

$1 = RMB 6.64