The Chinese domestic steel pipe market has mostly moved sideways in the past week, though also with slight downticks observed.
As of August 21, 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 $626/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $653/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 $544/mt and $551/mt respectively. All the above prices include 17 percent VAT.
The Chinese domestic seamless pipe market has mainly followed a stable trend in the past week, but with slight decreases seen in certain local markets. Declines in mills' quotations of billet and seamless pipes have been the main factor behind the slight decreases in seamless pipe market prices. Some traders have chosen to adjust their prices down slightly, while most have kept their prices stable and are maintaining a wait-and-see stance. Overall trading activity has slackened slightly and remains weak. Traders are mostly pessimistic on the future prospects for the market. For the coming week, the market trend is expected to remain mostly stable, but again with some slight downticks.
China's local welded pipe market has mainly indicated sideways movement in the past week, but also with some minor softening in prices seen in certain markets. Declines in steel strip prices have contributed to the softening in question, while overall trading activity for welded pipes has remained slack. For the coming seven days, Chinese domestic welded pipe prices may be characterized by a weak trend if steel strip prices continue to soften.