Over the past month quotations for welded pipes in the UAE have started to decrease amid low levels of buying activity. Since the start of May trading conditions in the market have become much worse. Even traders are very reluctant to stock in anticipation of further declines in welded pipe prices. Prices for locally produced welded pipes have declined by $20-60/mt over the past month. Prices for Chinese welded pipes have decreased by $50-60/mt over the period in question, while quotations of Indian welded pipes have seen a drop of $70/mt. Traders report that mills are ready to offer discounts on their current prices and are waiting for enquiries. Market players expect to see a further correction of welded pipe prices due to sluggish demand in the market, against the background of falling flats prices.
Domestic prices for locally produced 1"-4" welded pipes with 2- 4 mm wall thickness grade B made to ASTM A53 or BS 1387 are at about $770-820/mt ex-works, while ½"-¾" pipe sizes with 1.8-2.0 mm wall thickness are at $790-830/mt ex-works. Current domestic prices of 1"-4" galvanized ERW pipes made to BS 1387 are in the range of $920-950/mt ex-works. Prices are given on actual weight basis.
Offers of Chinese ERW pipes up to 10" grade B as per ASTM A53/API 5L are being given to the UAE market at $780-830/mt C&F, compared to $840-880/mt C&F one month ago.
Indian suppliers are offering ERW pipes 1"- 6" as per BS 1387 (light series) or API 5L at $850-880/mt C&F, compared to $920-950/mt one month ago.
South Korean 8"-12" ERW pipes grade B made to ASTM A53/API 5L are offered to the UAE on average at $950/mt C&F, while quotations of 18"-24" ERW pipes are at $1,020-1,080/mt C&F. Offers of 26"-36" SAW pipes from South Korea are at $1,300-1,400/mt C&F.