The welded pipe market in Saudi Arabia has remained stable over the past month, with hardly any scope for raising prices. At the same time, low import offers from Turkey and China have kept the pressure on Saudi mills not to increase their prices. Over the past month, commercial producers have reduced their domestic and export offers by $20-30/mt due to insufficient demand in the country amid weak activity in the construction sector and falling import prices. At the same time, quality manufacturers are trying to keep their prices at previous levels, supported by firm demand from Saudi Aramco. Welded pipe prices in Saudi Arabia are unlikely to strengthen in the coming period considering the global price decrease following the declines in raw material prices.
Commercial-quality welded pipes with 3"-4" diameter made of steel grade A, B as per ASTM A53 are still available to local buyers at $810-830/mt delivered, while 1"-2" ERW pipes are offered at $845-865/mt delivered (here and below on theoretical weight basis).
Quality Saudi Arabian manufacturers, approved by state-owned national oil company Saudi Aramco, are offering 8"-10" welded steel pipes grade B as per API 5L with plain ends at around $930-970/mt ex-works. The same pipes with 5"-6" and 16" diameter are offered to local customers at $900-1,000/mt ex-works and $1,230-1,250/mt ex-works, respectively.
Export quotations from Saudi Arabia of 8"-10" welded steel pipes grade B made to API 5L from quality producers are at $980-1,020/mt FOB, while export offers of 1"-4" ERW pipes from Saudi commercial producers are at $835-890/mt FOB.
Import offers of Chinese welded pipes, 2"-6" grade B made to ASTM A106/API 5L, are being given to the local Saudi market at around $600-640/mt CFR, $20-30/mt lower compared to one month ago.