Import CFR offer prices for Korean and Vietnamese unfinished J55 electric resistance welded (ERW) oil country tubular goods (OCTG) casing to the US have increased by an additional $40/mt in the past week, on the heels of a $20/mt increase announced last week. CFR offer prices from Taiwan to the US are also up $40/mt since our last report, marking a total $70/mt increase in the past two weeks. Trader sources say they are not surprised that offshore mills are trying to hike prices, especially in light of ongoing increased raw material costs in their respective local markets. Those attempts, though, may be in vein. The average sales price from each of these countries is still being reported in the range of $44.00-$45.00 cwt. ($970-$992/mt or $880-$900/nt) DDP loaded truck in US Gulf ports, reflecting no change since mid-October 2012.
Meanwhile, spot prices for US domestic finished J55 ERW OCTG casing are unchanged in the past seven days. The most commonly reported range is still between $61.00-$62.00 cwt. ($1,345-$1,366/mt or $1,220-$1,240/nt) ex-Midwest mill. Deals approximately $5.00-$6.00 cwt. ($100-$132/mt or $100-$120/nt) are still reportedly available, according to industry insiders, a trend which has sustained for the past eight weeks. Inventories continue to be tightly managed, and buyers report they are only placing orders on an as-needed basis.