Although the US' top import sources for API X-42 electric resistance welded (ERW) line pipe have been vying for US buyer attention--thus keeping a cap on prices--some mills in Vietnam have expressed desire to raise their prices. However, because Korea is still US buyers' first choice for imported line pipe, Vietnamese mills are holding off on an increase for the time being--and will likely keep prices stable until Korean mills make a move. Both Korean and Vietnamese offer prices are unchanged in the last week in the range of $47.50-$48.50 cwt. ($1,047-$1,069/mt or $950-$970/nt) DDP loaded truck in US Gulf ports, while Indian offer prices are about $0.75 cwt. ($17/mt or $15/nt) higher.
In the US, the gas rig count is still dropping, driving those holding substantial line pipe inventories to slow purchasing activity while some natural gas rigs are converted into rigs drilling oil or gas liquids, which sources tell SteelOrbis isn't being done as quickly as some would like. Even so, because oil drilling remains strong, line pipe mills aren't feeling pressure to drop US domestic API X-42 ERW line pipe spot prices below the current $62.50-$63.50 cwt. ($1,378-$1,400/mt or $1,250-$1,270/nt) ex- mill range, unchanged from last week.