Over the past month the uptrend of prices has continued in the Iranian flat products market, following rising movements in the global markets for flat products. Mobarakeh Steel's HRC has been sold at $590-600/mt ex-works with a long delivery period of 90 days, $55/mt higher than one month ago. Iranian production CRC is being offered to the domestic market at $706/mt ex-works with 90-day delivery, compared with Mobarakeh's previous supply via the Iran Mercantile Exchange on September 7 at $660/mt ex-works. Offers of HRC to Iran from Russian mills are at about $600/mt C&F Anzali. Quotations of Chinese HRC of 2 mm thickness are being given to the Iranian market at about $560-580/mt C&F Bandar Abbas.
Meanwhile, consumers of welded pipes in Iran, returning to the market after the holidays, are in no hurry to start active purchases. Average quotations from domestic mills have remained at previous levels, though in some cases increases of $10-40/mt have been seen. However, Iranian traders, foreseeing better demand after Ramadan, have already increased their offers by $50-85/mt over the past month. Chinese suppliers of welded pipes have decreased quotations by $100-110/mt over the past four weeks, with welded pipes from China thus becoming cheaper and more attractive for Iranian customers.
The rising trend in the Iranian flat products market will push local welded pipe prices up to higher levels. Nevertheless, Iranian producers of welded pipes are faced with poor local market demand and competition from Chinese suppliers. However, some promising economic data and the recovery in oil prices give the producers hope that they will be able to see out the year with relative stability and will be able to start next year with some optimism.
Current domestic prices for Iranian welded pipes of ½"-8" size with 2-6 mm wall thickness made to EN 10219 or DIN 2394 from S235JR grade HRC are at $710-750/mt ex-works. Offers of 25 x 25 mm - 110 x 110 mm hollow sections with 2-6 mm wall thickness made to EN 10219 or DIN 2395 are being given on average at $710-740/mt ex-works. ERW pipes and hollow sections with 0.9-1.5 mm wall thickness made to EN 10219 from ST 1203 grade CRC are quoted in the domestic market at $800/mt ex-works. Prices for galvanized ERW pipes with 2-6 mm wall thickness made to EN 10255-10240 are at about $980/mt ex-works.
Current domestic prices of Iranian 6"-8" welded pipes made to ASTM A53 grade B are at levels of $840-850/mt ex-works, with 12" size at $900-950/mt ex-works, and 10"-14" sizes at $950-1,000/mt ex-works.
Local stockists' prices for welded pipes of ¾"-3" size from Iranian producers are at about $960-1,015/mt ex-warehouse, compared to $905-935/mt ex-warehouse one month ago. Offers of 20 x 20 mm - 100 x 100 mm hollow sections ex-warehouse Tehran are on average at $800-820/mt, compared to $740-755/mt ex-warehouse one month ago.
Chinese welded pipes, 2"-6" grade B made to ASTM A53/API 5L are currently being offered to the Iranian market at around $680-730/mt C&F Bandar Abbas, $100-110/mt lower than four weeks ago.
Iranian domestic prices for welded pipes from Iranian mills are as follows:
($/t, ex-warehouse, cash payment)
Diameter Price Change*
¾" 1,005 +75
½" 1,015 +80
1" 995 +85
1 ¼" 1,000 +85
1 ½" 985 +80
2" 995 +80
3" 960 +50
* Over the past four weeks