Local Chinese steel pipe prices move sideways or soften slightly

Local Chinese steel pipe prices have either moved sideways or declined slightly during the past week. 

As of July 18, 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 $676/mt (RMB 4,650/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $683/mt (RMB 4,700/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 $642/mt (RMB 4,420/mt) and $636/mt (RMB 4,377/mt) respectively. All the above prices include 13 percent VAT.

Local Chinese seamless pipe prices have mostly moved down slightly during the past week. Overall trading activity has been at a low levels due to the impact of the offseason and the rainy weather on downstream demand. Upstream billet prices have moved down by a small margin. Most traders are downbeat on the prospects for the trend of prices. As for the week ahead, it is believed that domestic seamless pipe prices may continue their slightly soft trend.

Chinese domestic welded pipe prices have mainly moved on a stable trend in the past seven days, with some prices also softening slightly. Overall trading activity is sluggish, with downstream demand characterized by weakness. Upstream raw material prices have indicated some declines. Traders are generally unwilling to increase their stock levels. As for the coming week, it is believed that domestic welded pipe prices may fluctuate on a slightly soft trend.

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

$1 = RMB 6.88