Local Chinese pipe prices mostly remain stable

Local Chinese steel pipe prices have mainly moved sideways during the past week.

As of January 20, in China's three main steel markets, i.e., Shanghai, Guangzhou and Beijing, the average price of 20# (GB/T8162-1999) grade 108 mm x 4.5 mm seamless pipe now stands at $935/mt (RMB 5,933/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $939/mt (RMB 5,960/mt). Meanwhile, on the same date, Q195-215 grade 48 mm x 3.25 mm welded pipe and Q215-235 grade 114 mm x 3.75 mm welded pipe prices in the above markets are standing at $840/mt (RMB 5,333/mt) and $835/mt (RMB 5,303/mt) respectively. All the above prices include 13 percent VAT.

Chinese seamless pipe prices have followed a stable trend during the past seven days. Overall trading activity has been weak. Upstream billet prices have edged up slightly but, since demand is weak, most traders have chosen to keep their prices stable. As for the week ahead, as demand may increase a little before the New Year holiday, it is believed that seamless pipe prices in China may remain stable or move up by a small margin.

Chinese domestic welded pipe prices have been mostly stable in the past week, though with some minor upticks also seen. Overall trading activity has improved slightly but is still weak since downstream buyers believe prices of welded pipes are still high. Upstream steel strip prices have risen a little, causing some welded pipe traders to follow suit. However, most traders have kept their prices stable in order to close more deals. As for the week ahead, it is believed that welded pipe prices may follow a mostly stable trend, with slight increases also possible.

Seamless pipe prices

 All the above prices include 13 percent VAT.

Welded pipe prices

All the above prices include 13 percent VAT.

$1 = RMB 6.349