Negative sentiments prevail in local Chinese steel pipe market

The Chinese seamless pipe market has followed a stable trend in the past week, while the domestic welded pipe market has been mostly stable but with some increases also. 
 
As of April 17, 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 $666/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $707/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 $588/mt and $590/mt respectively. All the above prices include 17 percent VAT.
 
The Chinese domestic seamless pipe market has moved on a stable trend during the past week. However, amid slack demand and low trading volumes, most traders are willing to negotiate on prices and some are offering discounts to attract customers. Traders mostly have a negative view of the prospects for the future trend and are maintaining a wait-andsee stance for now. For the coming week, it is thought that the Chinese seamless pipe market may continue its stable movement.
 
The Chinese domestic welded pipe market has mostly indicated stable movement in the past week, though certain local markets have witnessed price upticks in order to catch up with previous price increases recorded in other regions of the country. During the past week, the overall trading volume has not been as good as traders expected. After last week's price increases and given the low demand volume in the current week, sentiment among traders has become negative again. Some traders have stated that, if the trading volume does not improve, they may choose to reduce prices again. It is believed that the Chinese welded pipe market could fluctuate on a slightly soft trend in the week ahead.