Seamless pipe prices have started moving up in China boosted by positive developments during the National Day holiday both at home and abroad and driven by the sharp rises in the price of billet. Over the past two weeks, domestic prices of Chinese seamless pipes have increased by RMB 150-300/mt ($28-52/mt), while export quotations have moved up by around $40/mt. Meanwhile, the market has seen no substantial improvement in demand from local and foreign buyers, and transactions remain scarce.
Market players believe the upturn will not continue for long amid low overall demand and the oversupply issue.
Chinese domestic prices for 2"-6" seamless pipes according to GB/8162-8163 are varying at around RMB 4,700-5,000/mt ($746-794/mt) ex-works, including 17 percent VAT. Domestic prices of seamless pipes, 2"-8" grade B as per ASTM A106/API 5L, are at around RMB 5,700-5,800/mt ($905-920/mt) ex-works.
Current export offers of seamless pipes from Chinese manufacturers for 2"-8" Sch 40 grade B material according to ASTM A106/API 5L are on average at $820-920/mt FOB. Export quotations of 2"-10" seamless pipes of grade B as per API 5L from stocks are at around $720-760/mt FOB.