Local Chinese steel pipe prices soften

Local Chinese steel pipe prices have mostly moved down during the past week, amid some fluctuations.

As of December 30, 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 $940/mt (RMB 5,983/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $944/mt (RMB 6,010/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 $839/mt (RMB 5,340/mt) and $834/mt (RMB 5,310/mt) respectively. All the above prices include 13 percent VAT.

Chinese seamless pipe prices have mainly declined during the past seven days. Overall trading activity has been weak due to the offseason. Meanwhile, upstream billet prices have softened lately, causing most seamless pipe traders to follow a similar trend. Supply has remained low. As for the week ahead, with demand expected to remain weak, it is believed that local seamless pipe prices may continue to move down.

Chinese domestic welded pipe prices have moved down during the past week. Upstream prices of steel strip and of other raw material prices have declined, causing welded pipe prices to follow suit. Demand is still weak due to the offseason and the cold weather in most areas of the country. As for the week ahead, it is believed that domestic welded pipe prices may continue their declining trend.

Seamless pipe prices

 All the above prices include 13 percent VAT.

Welded pipe prices

All the above prices include 13 percent VAT.

$1 = RMB 6.367