The Chinese welded pipe market has shown no signs of improvement over the past two weeks as demand has remained lackluster amid low construction activity during the winter season. Domestic quotations of Chinese welded pipes have moved down by around RMB 1,000/mt ($10-15/mt), while export prices have remained unchanged. Most market players still maintain a cautious attitude towards the market, believing that the welded pipe market outlook for the coming period is not so bright, with a downward correction of prices considered possible. Amid the current international financial environment, the export prospects for the future appear gloomy.
Current offers of locally produced welded pipes, 2"-6" Q215-Q235 grade, are being given to the Chinese domestic market at an average of RMB 4,000-4,100/mt ($635-650/mt) ex-works, while 2"-6" welded pipes of grade B as per ASTM A53 are at RMB 4,900-5,000/mt ($780-795/mt) ex-works. These local market welded pipe prices include 17 percent VAT.
Current export prices of Chinese welded pipes, 2"-8" grade B according to ASTM A53, are varying at around $750-780/mt FOB on actual weight basis, while 10"-18" welded pipes are at $770-850/mt FOB.