Local UAE seamless pipe market still characterized by weakness

Due to lower oil prices and cutbacks in oil output many oil projects have been suspended in the UAE. As a result, local demand for seamless pipes has continued to decline, forcing most foreign suppliers to reduce prices for the UAE market. Within the past month, quotations of Chinese pipes have decreased by $15-30/mt, prices for Ukrainian and South African material have declined by a maximum of $10/mt. Offers of Romanian materials have increased by a maximum of $25/mt, while quotations of German and Japanese seamless pipes have remained unchanged. Market insiders do not expect any improvement in the near future due to the approach of Ramadan which this year starts on June 18.
 
Most offers of seamless pipes of 2"-8" grade B made to ASTM/API from the majority of Chinese mills are being given to the local UAE market at $540-585/mt CFR.
 
Quotations of Ukrainian (Interpipe) seamless pipes, 2"-6" Sch 40 grade B made to ASTM/API, are at $880-930/mt CFR, while 8"-10" pipes are at $900-950/mt CFR.
 
Quotations from South Africa for seamless pipes of 2"-6" grade B made to ASTM/API are at about $970-1,025/mt CFR.
 
Seamless pipes from Romania (ArcelorMittal) of 3"-10" grade B made to ASTM are quoted at about $1,080-1,100/mt CFR.
 
Quotations from France and Germany (V&M) and from Japan (NSSMC) for seamless pipes of 2"-6" grade B made to ASTM/API are at about $1,225-1,280/mt CFR.