Despite expectations, consumer demand for welded pipes has remained slack in Saudi Arabia. Meanwhile, quality Saudi Arabian producers have managed to maintain welded pipe prices at previous levels as they are booked full with orders from Saudi Aramco up to November. At the same time, commercial producers have reduced their domestic and export offers by a maximum of $20/mt over the past month in order to stimulate buying activity. However, further price declines are unlikely as traders are expected to resume bookings soon in order to replenish their inventories.
Quality Saudi Arabian manufacturers, approved by state-owned national oil company Saudi Aramco, are offering 6"-10" welded steel pipes grade B as per API 5L with plain ends at around $930-950/mt ex-works on theoretical weight basis, while offers of 2"-8" ERW pipes of grade A, B as per ASTM A53 are given by commercial producers to Saudi buyers at about $830-880/mt ex-works.
Export quotations of welded pipes of grade B as per ASTM A53 from Saudi Arabian commercial producers are at $850-910/mt FOB.
Import offers of Chinese welded pipes of 2"-6" grade B made to ASTM A106/API 5L are being given to the local Saudi market at around $700-740/mt CFR, a maximum of $10/mt higher than one month ago.