US domestic A-53 electric resistance welded (ERW) black plain end (BPE) Grade A standard pipe spot prices have come down by approximately $2.00 cwt. ($44/mt or $40/nt) in the past two weeks to $45.00-$46.00 cwt. ($992-$1,014/mt or $900-$920/nt) ex-Midwest mill, with order activity having held at steady, yet slow. The main challenge, according to industry insiders, is that the availability of pipe continues to exceed meager demand levels.
Meanwhile, import prices for A-53 ERW BPE Grade A standard pipe have also ticked downward in the past two weeks. The average import sales price range in the US from Korea has decreased by approximately $1.50 cwt. ($33/mt or $30/nt) in the past two weeks and is now in the range of $39.50-$40.50 cwt. ($871-$893/mt or $790-$810/nt) DDP loaded truck US Gulf Coast ports. In addition, import sales prices in the US from the Philippines have also fallen by about $2.00 cwt. and are now in the approximate range of $40.25-$41.25 ($887-909/mt or $805-$825/nt) DDP loaded truck US Gulf Coast ports. Trader sources have said that there is a widespread reluctance to book futures despite the substantial drop in prices. Raw material costs in the Far East are weakening and customers are reluctant to book orders until the market bottoms.