Although some Texas-based service centers say they were fortunate enough to not lose any inventory as a result of Hurricane Harvey, sources close to SteelOrbis point out that Tejas Tubular mill was under water due to the flooding.
“Anyone who had any orders on the books with either of those mills is going to be stuck,” a source said.
Trader sources, however, note that a significant amount of import material is currently on the water. “There’s a lot of J55 due in the rest of the year,” a second source said.
At current, prices for imported J55 ERW OCTG casing from Taiwan in the US domestic market continue to be heard at $41.00-$42.50 cwt. ($904-$937/mt or $820-$850/nt), DDP loaded truck in US Gulf coast ports.
Meanwhile, offers for imported J55 ERW OCTG from Korea in the US domestic market have fallen silent.