Seasonal demand downturn impacts Polish welded pipe market

Wednesday, 13 November 2013 15:43:42 (GMT+3)   |  
       

The Polish welded pipe market has weakened somewhat over the past month owing to a seasonal downturn in demand. Domestic prices of Polish welded pipes have moved down by around €5-10/mt ($7-13/mt) during the past month. Meanwhile, Polish customers have been keeping their buying activity at low levels amid slack interest from consuming sectors. During the period in question, quotations of Italian material for the Polish market have decreased by €20/mt ($27/mt), while Bulgarian suppliers have decreased their offers for Polish customers by a maximum of €10/mt ($13/mt). However, import prices still remain too high for the Polish market and local buyers insist on additional discounts. Market players do not expect to see any significant revival of buying activity in the Polish welded pipe market in the coming period in view of seasonal factors.

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 €660-680/mt ($884-911/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 €550-560/mt ($737-750/mt) ex-works. ERW galvanized pipes made to EN 10240 are quoted for local customers at €860-870/mt ($1,152-1,166/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 HRC to the Polish market are at the level of €600-640/mt ($804-858/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 €550-590/mt ($737-791/mt) CPT on theoretical weight basis.

€1 = $1.34

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