The Chinese domestic steel pipe market has for the most part moved on a soft trend during the past week.
As of March 6, in 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 $680/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $721/mt. Meanwhile, on the same date, prices of Q195-215 grade 48 mm x 3.25 mm welded pipe and Q215-235 grade 114 mm x 3.75 mm welded pipe in the above markets are standing at $581/mt and $588/mt respectively. All the above prices include 17 percent VAT.
China's local seamless pipe market has moved on a downtrend during the past week amid soft billet prices, while the trading volume has remained at a low level, with the decreased prices failing to attract any additional purchasing activity. Sentiment among traders is quite negative. They are generally not inclined to build up their stocks and are just purchasing in line with their needs. It is believed that, after the decreases in the past week, domestic seamless pipe prices may move sideways for a while as the market waits for some response on the demand side.
In the past seven days, China's domestic welded pipe market has mainly followed a stable trend, though prices of certain products have fallen slightly. The trading volume in the market has remained on the low side. Traders are still maintaining a wait-and-see stance and are trying to avoid cutting their prices even though trading activity is sluggish. It is believed the market will mostly follow a stable trend in the coming period, with some slight fluctuations possible.