The welded
pipe market in
China has continued to be sluggish amid soft demand from end-users. The off-peak season is the main factor deciding the current state of consumption. Construction projects usually slow down in
China due to the hot weather in July and August. Welded
pipe prices in
China have not seen substantial changes over the past two weeks. Domestic offers have declined by a maximum of RMB 50/mt ($8/mt), while export offers have remained unchanged amid tepid demand. However, the overall sales performance is poor, and welded
pipe producers and traders have no confidence in the prospects for the market in the coming period. Market insiders believe it will be difficult for the welded
pipe market in
China to register an improvement in the near future amid poor transaction activity, soft demand as well as tight liquidity.
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 3,800-4,000/mt ($618-650/mt) ex-works, while domestic offers of welded pipes of grade Q195-235 are at levels of RMB 3,250-3,600/mt ($528-585/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 3,300-3,450/mt ($537-561/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 3,250-3,320/mt ($528-539/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $590-620/mt FOB on actual weight basis.
$1 = RMB 6.15