Spot prices, order activity and inquiries within the US domestic and import Grade A electric residence weld (ERW) black plain end (BPE) standard pipe markets might be steady at the moment, but sources tell SteelOrbis that several factors which could incite some change in the upcoming weeks. On the domestic front, the fast-approaching holiday season slowdown is on the horizon, and between vacations, slowed activity, end-of-year “fire-sale” pricing by sellers looking to avoid the year-end-inventory tax, slowly eroding hot rolled coil (HRC) prices and a forecast drop for US domestic scrap prices next month could all place downward pricing pressure on US domestic Grade A ERW BPE standard pipe as well. In terms of import pricing, the recently filed trade case against Korean line pipe producers may cause them to shift gears, and become more aggressive in trying to obtain US orders for standard pipe.
For now, US domestic spot prices are still holding in the approximate range of $47.00-$48.00 cwt. ($1,036-$1,058/mt or $940-$960/nt) ex-Midwest mill, while futures offers from Taiwan have also remained lateral at $38.50-$39.50 cwt. ($849-$871/mt or $770-$790/nt) DDP loaded truck in US Gulf Coast port; Vietnamese and Korean offers continue to trend $0.50 cwt. ($11/mt or $10/nt) higher and $2.00 cwt. ($44/mt or $40/nt) higher, respectively, also DDP loaded truck in US Gulf coast ports.