Trading is still slow in the Iranian seamless pipe market. Contracts with foreign sellers have been signed just occasionally due to the still complicated financing of imports resulting from international sanctions. Over the past month, import offers of Ukrainian material have gone down by around $50/mt, while quotations of Chinese seamless pipes have increased by $20-30/mt. Prices of domestic production seamless pipes have gone up by $50/mt over the past month amid lower volumes of seamless pipe imports.
Most market participants do not expect seamless pipe prices to decline in Iran as the end of the Iranian year is approaching and there are some reports about the possible implementation of the second phase of Iran's subsidy reform program. Meanwhile, importers will likely continue to face difficulties.
Current domestic prices of Iranian production seamless pipes of 1"-4" grade B made to API 5L are at $1,100-1,150/mt ex-works.
Import offers of Chinese seamless pipes, 2"-6" grade B made to ASTM A106/API 5L, are being given to the local Iranian market at $870-920/mt CFR Bandar Abbas, while offers of these pipes from bigger producers may reach $980-1,000/mt CFR.
Quotations of Ukrainian seamless pipes of 2"-8" size grade B as per ASTM A106 are at about $1,100-1,150/mt CFR Bandar Abbas for March production.
Russian pipes of 2"-6" grade B as per ASTM A106 are being offered to northern Iranian ports at $1,000-1,100/mt CFR from producers ChTPZ and TMK.