Activity within the US domestic and import API X-42 line pipe markets continues to trend slow, as falling oil prices are still taking a toll on the market. Oil prices fell again this week, and it seems as if Saudi Arabia is showing no signs of slowing down production. Others say that oil production levels within the US are still too high and that this will continue to have a negative impact on the line pipe market in the months to come. High line pipe inventory levels, they said, aren’t helping either.
Spot prices within the US domestic market may have remained neutral since our last report a week ago, at approximately $45.00-$46.00 cwt. ($992-$1,014/mt or $900-$920/nt), ex-Midwest, while futures prices from Taiwan and Vietnam are also sideways and have held in the approximate range of $35.00 -$36.00 cwt. ($772-$794/mt or $700-$720/nt), DDP loaded truck in US Gulf coast ports; while futures pricing from Korean producers are also lateral at approximately $32.50-$33.50 cwt. ($717-$739/mt or $650-$670/nt), DDP loaded truck in US Gulf Coast ports. But, as in previous weeks, all pricing is negotiable for anyone who is looking to book heavy tons.