Local welded pipe producers in Saudi Arabia continue to concentrate on the domestic market, where the demand is better compared to the external market. The Saudi market for welded pipes is still seeing an upward trend amid higher prices for flat products. Over the past three weeks offer prices for locally produced welded pipes have increased by $150/mt. However, producers say that this is the last increase for the coming two months. A representative of the one of the Saudi manufacturers commented to SteelOrbis, "We don't expect a significant price increase in the near future. Mills have enough feedstock materials, so we will not be dependent on coil price fluctuations. We foresee that pipe demand will be stable as the activity of the Saudi Arabian state oil company Aramco has picked up and as some infrastructure projects are also picking up."
Current offers from Saudi Arabia's commercial producers for 2"-8" welded pipes grade B as per ASTM A53/API 5L are at $850-900/mt ex-works (here and below on a theoretical weight basis). Quality Saudi Arabian manufacturers approved by state-owned national oil company Saudi Aramco are offering 6"-16" welded steel pipes grade B as per API 5L with plain ends at around $950-1,000/mt ex-works. At the same time, SteelOrbis has learned that offers of 4" black ERW pipes grade A made to ASTM A53 are being given by quality manufacturers to local customers at around $850/mt ex-works. Export quotations of 6"-16" welded steel pipes grade B made to API 5L from quality producers are at $1,000-1,050/mt FOB.
Offers of Chinese ERW pipes up to 10" grade B as per ASTM A53/API 5L are being given to the Saudi market at $730-780/mt C&F, compared to $780-840/mt C&F three weeks ago.
Indian suppliers are offering ERW pipes up to 6" as per BS 1387 (light series) at the level of $760-780/mt C&F, $30/mt higher than three weeks ago.