Rising quotations of raw materials and semi-finished products have pushed up domestic and export prices of Chinese seamless pipes. Domestic quotations have increased by RMB 200-400/mt ($30-55/mt) over the past two weeks. Export offers have risen by $20-40/mt over the same period. Market players believe that seamless pipe prices will continue to rise in the coming weeks due to the higher production cost and the anticipated improvement in demand from local customers. The export volume of seamless pipes from China is not expected to expand because of the ongoing trade restrictions in Europe and the US. Furthermore, the Indian government has started an antidumping investigation against imports of Chinese seamless pipes of up to 273 mm diameter. On the other hand, the stimulus measures of the Chinese government are expected to support domestic demand for seamless pipes.
Chinese domestic prices of seamless pipes, 2"-6" grade B according to ASTM A106 or GB/8163, are currently varying at their previous range, i.e., at around RMB 5,000-5,300/mt ($730-780/mt) ex-works. These prices for the local market include 17 percent VAT and are on actual weight basis. Domestic quotations of tubing pipes of 2"-4" size, grade J55 as per API 5CT, plain-ended, are at about RMB 5,500-5,800/mt ($805-850/mt) ex-works. Chinese domestic prices for casing, 6"-8" grade J55 according to API 5CT, are varying at around RMB 5,300-5,600/mt ($780-820/mt) ex-works.
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 $720-750/mt FOB. Export quotations for 2"-4" tubing J55 as per API 5CT, plain ends, are in the range of $780-820/mt FOB, while quotations for 6"-8" casing are at $750-800/mt FOB.