The Chinese seamless pipe market is quiet before next week's Spring Festival holiday. Domestic prices of seamless pipes have stayed relatively stable in China over the past two weeks, while export quotations have dropped by around $10-50/mt. Most seamless pipe suppliers may keep their prices stable until the end of the holiday as many market players will be out of the market. Market participants do not expect a rebound in seamless pipe prices after the holiday owing to uncertainty surrounding the government's monetary policy and the economy outlook. Exports of seamless pipes from China will likely face tougher challenges given mounting steel trade friction and continuous appreciation of the RMB against the US dollar.
Chinese domestic prices of 2"-6" seamless pipes according to GB/8162-8163 are varying at around RMB 5,000-5,400/mt ($790-855/mt) ex-works, including 17 percent VAT. Domestic prices of seamless pipes, 8"-12" grade B as per ASTM A106/API 5L, are at around RMB 5,600-6,200/mt ($890-980/mt) ex-works.
Current export offers of seamless pipes from Chinese manufacturers for 2"-10" Sch 40 grade B material according to ASTM A106/ASTM A53/API 5L are on average at $850-950/mt FOB, while 12"-16" seamless pipes are at $950-1,000/mt FOB.
Export quotations for 13 3/8" casing, J55 as per API 5CT, BTC, are at $1,000-1,050/mt FOB, while 2 7/8"-3 1/2" tubing, plain ends, are at around $1,050-1,100/mt FOB.