The US domestic and import API X-42 line pipe markets have trended steady since our last report a week ago, as the problems noted in recent reports continue to hinder the market. Oil prices are falling, US domestic oil rig counts are unstable. “There’s way too much inventory and not enough orders. Import tons are still arriving at the docks and US mills are still making plenty of pipe,” according to one Texas-based source. “It’s pretty ugly out there.”
Spot prices within the US domestic market have trended lateral in the past seven days, at approximately $45.00-$46.00 cwt. ($992-$1,014/mt or $900-$920/nt), ex-Midwest mill although as in previous weeks, sources believe that mills will be open to making deals with anyone who wants to bring a larger-sized order to the table. In terms of futures pricing, offers Taiwan and Vietnam have also continued to hold 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 continues to trend at approximately $32.50-$33.50 cwt. ($717-$739/mt or $650-$670/nt), DDP loaded truck in US Gulf Coast ports. Trader sources have also confirmed that all pricing is negotiable.