Local Chinese steel pipe market mostly moves sideways

The local Chinese steel pipe market has mostly moved on a stable trend in the past week.

As of April 19, 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 $813/mt (RMB 5,100/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $837/mt (RMB 5,250/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 $699/mt (RMB 4,383/mt) and $692/mt (RMB 4,337/mt) respectively. All the above prices include 17 percent VAT. ($1 = RMB 6.27)

The Chinese domestic seamless pipe market has moved sideways in the past seven days, with overall trading activity at normal levels, while demand has improved, providing support for prices. Billet prices have risen slightly in the past week, while domestic seamless pipe producers have kept their prices unchanged, providing support for the stability of prices in the spot market. As for the coming week, the seamless pipe market in China may move up slightly with the support of costs and demand.

The local Chinese welded pipe market has mainly followed a stable trend in the past week, with slight upticks in some prices also seen. Overall trading activity is at normal levels, while upstream steel strip prices have increased slightly. Market inventory is still at high levels and it is thought that the demand side has not yet fully recovered. It is believed that the local welded pipe market may move in an upward direction in the coming week as demand continues to improve.

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

$1 = RMB 6.27