Local Chinese steel pipe market follows downward trend

The local Chinese steel pipe market has generally moved on a decreasing trend during the past week.

As of April 13, 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 $648/mt (RMB 4,466/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $653/mt (RMB 4,500/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 $518/mt (RMB 3,570/mt) and $518/mt (RMB 3,566/mt) respectively. All the above prices include 17 percent VAT. 

The local Chinese seamless pipe market has mostly followed a downward trend in the past seven days. Overall trading activity has been weak due to the rainy weather in most parts of the country. Billet prices have softened and pipe producers have reduced their quotations, causing most traders to decrease their prices. As for the week ahead, it is believed that domestic seamless pipe prices will continue their soft trend. 

The Chinese domestic welded pipe market has indicated a downward trend in the past week, with prices in some parts of the country decreasing by larger margins. Decreases in both steel strip prices and in the steel futures market in China have been the main factors contributing to the downward trend of welded pipe prices. Overall trading activity is still weak, while sentiment among traders is negative and they are willing to offer discounts. As for the week ahead, domestic welded pipe prices are expected to continue their downward movement. 

 

 

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

 

$1 = RMB 6.89