Activity in the Chinese welded pipe market remains slack. Welded pipe suppliers in China have slightly reduced their domestic offers by around RMB 10-50/mt ($2-8/mt) over the past two weeks, under pressure from low demand and decreases in flat steel prices. Export quotations of Chinese welded pipes have moved down by a maximum of $10/mt over the period under review amid slack demand from the main overseas outlets. Most market participants have a bearish outlook for the coming period against the backdrop of negative conditions in the raw materials segment.
Current offers of locally produced 2"-6" welded pipes of grade B as per ASTM A53 are being given to the Chinese domestic market at an average of RMB 4,300-4,450/mt ($702-727/mt) ex-works. These local market welded pipe prices include 17 percent VAT. Traders in Shanghai are offering Q215-Q235 welded pipes made to GB/T3091 at around RMB 3,740-3,930/mt ($611-642/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 3,640-3,750/mt ($595-613/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $640-680/mt FOB on actual weight basis.
$1=RMB 6.12