Stability reported within US standard pipe market

Thursday, 11 April 2013 22:23:18 (GMT+3)   |   San Diego
The trend for A-53 electric resistance welded (ERW) black plain end (BPE) Grade A standard pipe continues to remain neutral, despite previous assumptions that a February attempt by certain mills to increase Grade B standard pipe prices by $2.50 cwt. ($55/mt or $50/nt) could begin to firm prices for Grade A. On the contrary, order activity and inquires for A-53 ERW BPE Grade A pipe continue to be stable but unexciting, which has resulted in pricing flexibility depending on the size of the order and the mill with which it’s being placed. Buyers have said that deals between $1.00-$2.00 cwt. ($22-$44/mt or $20-$40/nt) below the average spot range of $47.00-$48.00 cwt. ($1,036-$1,058/mt or $940-$960/nt) ex-Midwest mill are not hard to come by.

Meanwhile, import offer prices for A-53 ERW BPE Grade A standard pipe from the Philippines and Korea are also consistent with ranges reported two weeks ago. The average sales price range in the US from Korea has remained at $41.00-$42.00 cwt. ($901-$926/mt or $820-$840/nt) DDP loaded truck, whereas the average price for standard pipe from the Philippines in the US is still between $42.25-$42.75 cwt. ($931-$942/mt or $845-$855/nt), both DDP loaded truck in US Gulf ports. In terms of order activity, trader sources continue to say that they are reluctant to place large orders for speculative tons and are buying only what they need.


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