Chinese suppliers of seamless steel pipes have increased their export quotations by an average of $10-20/mt over the past two weeks. Meanwhile, their offers for the Chinese domestic market have increased by RMB 210-370/mt ($35-55/mt) over the same period. Market players cite the rise in round billet prices, the strengthening of the local Chinese market and also increasing buyer activity in Southeast Asian countries as the reasons behind the rise in Chinese domestic and export seamless pipes prices. In consideration of the abovementioned factors, in the near future it is possible to expect a further small price growth in Chinese seamless pipes or, at the very least, their stabilization.
Chinese domestic prices of seamless pipes, 1"-8" grade B according to ASTM A106, are varying at around RMB 3,800-4,300/mt ($560-630/mt) ex-works excluding 17 percent VAT. Meanwhile, current export offers of seamless pipes from Chinese manufacturers for 2"-6" grade B material according to ASTM A106/API 5L are on average at $650-700/mt FOB.
Chinese domestic quotations of casing and tubing pipes, 2"-8" API 5CT J55 with plain ends, are at the level of RMB 4,500-4,800/mt ($660-700/mt) ex-works, excluding 17 percent VAT. On the other hand, export quotations for the same material are in the range of $700-750/mt FOB.