Prices for Mexican domestic hollow structural sections (HSS), referenced ASTM-A500 GB, have continued to fall, reaching the level of US$1,021/mt ex-mill--a decrease of US$8/mt since the last report two weeks ago.
Producers agree that pipeline construction will boost domestic steel demand by 1 million tons, and with growth in new gas infrastructure, such as the Ramones project, they hope that national demand for welded pipes will remain around 1 million tons annually for years to come.
Apparent domestic consumption of welded pipes grew 26.6 percent during the first two months of 2013, to reach 125,224 tons versus 123,652 tons in the same period of last year. However, production fell 1.3 percent in this period, to reach 96,421 tons against 97,657 tons in January-February 2012.