Chinese pipe market prices mostly remain stable

The local Chinese steel pipe market prices have mostly remained stable during the past week.

As of October 25 in China's three main steel markets, i.e., Shanghai, Guangzhou and Beijing, the average price of 20# (GB/T8162-1999) grade 108 mm x 4.5 mm seamless pipe now stands at $778/mt (RMB 5,410/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $791/mt (RMB 5,500/mt). Meanwhile, on the same date, Q195-215 grade 48 mm x 3.25 mm welded pipe and Q215-235 grade 114 mm x 3.75 mm welded pipe prices in the above markets are standing at $690/mt (RMB 4,793/mt) and $682/mt (RMB 4,737/mt) respectively. All the above prices include 16 percent VAT.

Chinese seamless pipe market prices have mostly remained stable during past week, though prices of certain types have slightly fallen. Overall trading activity in the local Chinese seamless pipe market has increased to normal level. In parallel with the fall in upstream billet prices, seamless pipe producers in China have slightly reduced their domestic offers which mainly led some traders to follow. As for the week ahead, downstream users may once again be influenced by the environment protection policy and demand volume may fall. Therefore, it is believed that seamless pipe market prices may remain stable, though slight decreases are also considered to be possible.

Chinese welded pipe market prices have also moved sideways during the past week. Overall trading activity in the local Chinese welded pipe market has been at normal levels. Upstream steel strip prices have fluctuated at a small margin in the given week. Traders are willing to offer discounts in order to close deals. As for the week ahead, it is believe that welded pipe market prices may fluctuate in a small range.

16 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.95