The Chinese seamless pipe market has not changed much over the past two weeks. Most Chinese suppliers have left their domestic and export offers almost unchanged over the given period amid insufficient demand from local buyers and major export destinations. Buying activity in the domestic market is not expected to pick up in the coming period amid tough credit conditions at the year-end and unfavorable weather conditions, while overseas demand may remain poor amid the coming seasonal holidays.
Market players believe seamless pipe prices in China may continue to see just slight fluctuations in the short run given the absence of changes in the market fundamentals.
Domestic prices of seamless pipes, 2"-8" grade B as per ASTM A106/API 5L, are at around RMB 6,000-6,200/mt ($982-1,014/mt) ex-works, including 17 percent VAT. Chinese domestic prices of 2"-6" seamless pipes according to GB/8162-8163 are varying at around RMB 4,900-5,200/mt ($802-851/mt) ex-works. Chinese ex-stock prices for 2"-8" seamless pipes according to GB/8162-8163 in Shanghai are at around RMB 4,000-4,200/mt ($654-687/mt) ex-warehouse, including 17 percent VAT.
Current export quotations from most Chinese manufacturers for 2"-12" grade B seamless pipes according to ASTM A106/API 5L are on average at $730-780/mt FOB, while offers from big producers are still at levels of $830-850/mt FOB.
Export prices for 7"-9 5/8" casing pipes of J55 strength grade, as per API 5CT, plain ends, are at about $850-870/mt FOB, while 2 7/8"-3 1/2" tubing, plain ends, are at around $900-920/mt FOB.
$1 = RMB 6.107