Activity within both the US domestic and import line pipe market has tapered since the beginning of the month, as many in the steel industry have drifted into vacation mode. Spot prices for US domestic API X-42 electric resistance weld (ERW) line pipe have held steady in the past week and continue to trend in the approximate range of $54.00-$55.00 cwt. ($1,191-$1,212/mt or $1,080-$1,100/nt) ex-Midwest mill. Lead times are still at about three weeks, according to industry insiders, who say mills are ready and willing to negotiate deals with anyone who is looking to book larger tonnages. Those types of orders, though, are very few and very far between.
Meanwhile, prices for import API X-42 ERW line pipe from Vietnam and Taiwan are on par with levels seen one week ago. The most commonly heard range from both countries is still at $38.50-$39.50 cwt. ($849-$871/mt or $770-$790/nt), DDP loaded truck in US Gulf coast ports. Offshore mills that have been named in the current antidumping and countervailing duty investigations of OCTG continue to chase the US line pipe market, hopeful to make up for lost profits within that segment. And considering the US OCTG industry has filed “critical circumstances” allegations against several countries, including Vietnam, offshore pricing for API X-42 line pipe could very well become increasingly aggressive.