Local Chinese steel pipe market follow different trends

The local Chinese steel pipe market has mostly fluctuated on an sideays trend, with slight upticks during the past week.

As of September 14 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 $837mt (RMB 5,483/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $835/mt (RMB 5,467/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 $700/mt (RMB 4,583/mt) and $695/mt (RMB 4,553/mt) respectively. All the above prices include 17 percent VAT.

Average prices in the local Chinese seamless pipe market have moved upwards over the past week, due to slight price upticks in certain products. Upstream billet prices continue to increase, providing certain support to seamless pipe market prices. Even though the lively season in terms of trading activity has already started, seamless pipe demand in China is still weak. It is believed that prices in the local Chinese seamless pipe market will mostly remain unchanged in the coming period.

Meanwhile, prices in the local Chinese welded pipe market have remained stable over the past week, since the prices of steel strip and raw materials have fluctuated in small range. Trading activity was normal, while the production cuts due to environment issues also provide support to welded pipe prices. It is expected that prices in the local Chinese welded pipe market will increase in the next week.

17 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.55