Buying activity has remained weak in the Polish welded pipe market amid sluggish demand from consuming industries. However, market sentiment is improving and market players expect demand to recover in the coming period. Poland's welded pipe producers have increased their offers by a maximum of €10/mt ($13/mt) over the past six weeks citing higher production costs and the increased strength of the zloty against the euro. Import offers of Italian welded pipes have moved up by a maximum of €30/mt ($40/mt) over the same period. Bulgarian and Czech suppliers have maintained their offers almost unchanged over the period under review. Polish pipe makers may increase their prices again next month supported by an expected upturn in business activity and rising flat steel product prices. However, downside risks to further growth remain, including the continuing credit contraction in Europe and uncertainty surrounding the sovereign debt crisis in the region.
Current domestic quotations of locally produced 3/8"-6" water and gas ERW pipes of 2.6-4.5 mm wall thickness made to EN 10255 are at €730-750/mt ($971-998/mt) delivered, exclusive of 23 percent VAT. Offers of square and rectangular hollow sections with 2-4 mm wall thickness made from S235 JRH grade hot rolled coil (HRC) according to EN 10219 are in the range of €620-630/mt ($825-838/mt) ex-works. ERW galvanized pipes made to EN 10240 are quoted for local customers at €930-940/mt delivered.
Quotations of Italian black welded pipes of 2"-6" size with wall thickness of 2.0-4.0 mm as per EN 10219 made from S235JR grade HR coils to the Polish market are at the level of €680-720/mt ($904-958/mt) CPT on actual weight basis.
Offers of Bulgarian ERW pipes and hollow sections of 2-5 mm wall thickness made from S235JR grade HRC as per EN 10219 to Polish customers are standing at an average of €610-630/mt ($811-838/mt) CPT on theoretical weight basis.
Czech suppliers are offering hollow sections as per EN 10219 to the Polish market at about €610-620/mt ($811-825/mt) CPT.
€1 = $ 1.33