Although seamless pipe market activity in Saudi Arabia has weakened in the run-up to Ramadan, consumption is expected to remain strong throughout the summer as many infrastructure projects continue to be carried out by the government. As a result, domestic prices of locally produced seamless pipes have remained firm over the past month. Most foreign suppliers have also kept their offers unchanged from a month ago, while prices for Chinese and South African material have declined by $20-50/mt over the period under review. Meanwhile, seamless pipe prices in Saudi Arabia are thought likely to remain firm in the coming period, supported by steady demand from consuming sectors.
Market traders report that local manufacturer Jubail Energy Services Company (JESCO) is offering 6"-12" seamless pipes of grade B made to API 5L to the domestic market at around $1,240-1,280/mt ex-works.
Most offers of Chinese seamless pipes of 2"-6" grade B made to ASTM are being given to the Saudi Arabian market at $900-950/mt CFR, while quotations of seamless pipes from large Chinese mills are at $1,000-1,050/mt CFR.
Quotations of Ukrainian seamless pipes (Interpipe) of 2"-8" grade B made to ASTM are at $1,200-1,250/mt CFR. Russian seamless pipes (Volzhsky) of 2"-8" grade B as per ASTM are being offered to the Saudi market at $1,150-1,200/mt CFR.
South African seamless pipes (ArcelorMittal), 2"-6" grade B made to ASTM, are quoted at around $1,280-1,300/mt CFR Saudi Arabia.
Quotations of seamless pipes from France and Germany (V&M) and from Japan (Sumitomo) for 2"-10" grade B made to ASTM are at about $1,500-1,700/mt CFR.