No substantial changes have been noticed in China's welded pipe market over the past fortnight amid still low domestic and foreign demand and excess supply. Domestic mills' prices for welded pipes in China have mainly been stable, while traders have cut their offers by around RMB 10-40/mt ($4-9/mt) over the past two weeks. Export prices for Chinese welded pipes have stayed in the previous range. Market players believe that Chinese welded pipe suppliers will not cut prices before the end of the year, amid support from high costs of raw material.
Current offers of locally produced 2"-6" welded pipes of grade B as per ASTM A53 are being given to the Chinese domestic market at an average of RMB 4,100-4,200/mt ($671-687/mt) ex-works. These local market welded pipe prices include 17 percent VAT. Traders in Shanghai are offering Q215-Q235 welded pipes made to GB/T3091 at around RMB 3,650-3,720/mt ($597-609/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 3,460-3,530/mt ($566-577/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $620-650/mt FOB on actual weight basis.
$1 = RMB 6.107