Activity in the seamless pipe market in China is still quiet. Chinese seamless pipe producers are keeping their offers relatively stable as most market players have not yet resumed activity after the Spring Festival holiday. Thus, over the past two weeks domestic and export quotations of Chinese welded pipes have remained unchanged. Market players are cautiously optimistic about the market in the coming period as infrastructure construction projects will be restarted or begin construction in March and April with the weather getting warmer, which may boost the demand for seamless pipes. However, demand from both local and overseas buyers may recover at too slow a pace to provide significant support for the market.
Domestic prices of 4"-8" seamless pipes according to GB/8162-8163 are varying at around RMB 3,800-4,150/mt ($606-662/mt) ex-works, including 17 percent VAT.
Chinese ex-stock prices for 2"-8" seamless pipes according to GB/8162-8163 in Shanghai are at around RMB 3,200-3,500/mt ($510-558/mt) ex-warehouse, including 17 percent VAT, while traders in Tianjin and Beijing are offering the same pipes at around RMB 3,150-3,450/mt ($502-550/mt) ex-warehouse.
Current export quotations from most Chinese manufacturers for 2"-6" Sch40 grade B seamless pipes according to ASTM A106/API 5L are on average at $510-550/mt FOB.
$1 = RMB 6.27