The local Chinese steel pipe market has mostly moved sideways or risen slightly on week-on-week basis, depending on the product.
As of June 1 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 $615/mt (RMB 4,183/mt), with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $637/mt (RMB 4,333/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 $542/mt (RMB 3,687/mt) and $537/mt (RMB 3,650/mt) respectively. All the above prices include 17 percent VAT.
The local Chinese seamless pipe market has mostly followed a stable trend during the past seven days, while overall trading activity has been at normal levels. Upstream billet prices first moved upwards but then softened. Some traders have made slight reductions to their prices due to the soft trend of billet prices in the latter part of the week. On the other hand, low supply volumes in the seamless pipe market have been providing support for prices. As for the coming week, it is thought that domestic seamless pipe prices will mainly move sideways, with slight price reductions also possible.
Prices in the Chinese domestic welded pipe market are a little higher compared to one week ago, having first moved upwards and then declined slightly in the past week. Overall trading activity is at low levels due to the relatively high price levels in the market, which cause most downstream buyers to maintain a wait-and-see stance. Upstream steel strip prices have softened recently, while raw material future prices have fluctuated in a downward direction, dampening sentiment in the welded pipe market. For the week ahead, it is thought that welded pipe prices in China will fluctuate on a downward trend.
Product Name Spec. Category City Steel Plant/Origin Price (RMB/mt) Price ($/mt) Weekly Change (RMB/mt) Seamless pipe Φ108 mm x 4.5 mm 20# (GB/T8162-1999) Shanghai Wuxi 4,050 596 0 Guangzhou Shandong 4,400 647 ↓50 Beijing Angang 4,100 603 0 Average price - 4,183 615 ↓17 Φ219 mm x 6 mm 20# (GB/T8163-1999) Shanghai Zhenda 4,250 625 0 Guangzhou Angang 4,500 662 0 Beijing Shandong 4,250 625 0 Average price - 4,333 637 0 Welded pipe Φ48 mm x 3.25 mm Q195-Q215 Shanghai Tangshan 3,700 544 ↑30 Guangzhou Guangzhou 3,770 554 0 Beijing Jinghua 3,590 528 ↑20 Average price - 3,687 542 ↑17 Ф114 mm x 3.75 mm Q215-Q235 Shanghai Huaqi 3,660 538 ↑30 Guangzhou Guangzhou 3,770 554 0 Beijing Zengzhou 3,520 518 ↑20 Average price - 3,650 537 ↑17
$1 = RMB 6.80