Demand remains low in Italian seamless pipe market

The situation is still unfavourable in the Italian market for seamless pipes. Slack demand for seamless pipes and the uncertain economic situation in the EU are keeping most buyers out of the market. Stockists are cautious about renewing their low inventory due to weak demand from end-users amid a lack of investment projects. However, domestic and export prices of Italian seamless pipes have stayed unchanged over the past month. Meanwhile, market sources state that discounts can be given for firm orders. Over the same period, offers of Chinese material have moved down by €10-20/mt. However, Italian buyers are not showing any interest in Chinese seamless pipes due to low quality and the high antidumping tax. Prices of Ukrainian seamless pipes for Italy have declined by a maximum of €10/mt in the past month, while import quotations of seamless pipes from Romania and the Czech Republic have remained at previous levels. Most market players believe this situation will continue until the end of the year, while demand is not expected to pick up in the coming months due to the coming winter season, adverse economic conditions in Italy and the unstable situation in the EU.
 
Current domestic prices for Italian seamless pipes of 2"-4" size grade B as per ASTM A106 are at about €1,180-1,200/mt ex-works, while 6"-8" seamless pipes are at €1,300-1,400/mt ex-works.
 
Export quotations of Italian seamless pipes of 6"-12" size Sch 40 grade B as per API 5L are at around €1,290-1,390/mt FCA (transportation overland) or €1,330-1,430/mt FOB (transportation by sea), while offers of pipes of 16" Sch 40 are at €1,780-1,800/mt FCA or €1,830-1,850/mt FOB, for January shipment.
 
Indicative prices for Chinese seamless pipes, 2"-6" grade B made to ASTM A106/API 5L, are at about €830-890/mt CFR Italy. Prices are exclusive of antidumping (AD) duties (in the range of 17.7-39.2 percent depending on the producer).
 
November production Ukrainian 2"-6" seamless pipes as per GOST or EN are offered to the Italian market at around €830-890/mt CPT. Prices are exclusive of antidumping (AD) duties (in the range of 12.3-25.1 percent depending on the producer).
 
Prices for Romanian origin seamless steel tubes (TMK Artrom and ArcelorMittal Romania) of 2"-10" grade B made to ASTM A106/API 5L are at about €1,040-1,100/mt CPT.
 
Czech origin 3"-10" seamless pipes (ArcelorMittal Ostrava), made to ASTM A106/API 5L, grade B, are quoted for Italian consumers at around €940-990/mt CPT for November production, while offers of 4"-10" seamless steel tubes for pressure purposes made to EN 10216 from the same producer are being given to the Italian market at about €1,080-1,100/mt CPT.