As of August 4, in China's three main steel markets, i.e., Shanghai, Guangzhou and Beijing, the average price of 20# (GB/T8162-1999) grade 108 mm x 4.5 mm seamless pipe now stands at $911/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $919/mt. Meanwhile, on the same date, Q195-215 grade 48 mm x 3.25 mm welded pipe and Q215-235 grade 114 mm x 3.75 mm welded pipe prices in the above markets are both standing at $793/mt. All the above prices include 17 percent VAT.
Chinese seamless pipe market remain stable
The seamless pipe market in eastern China has remained stable in the past week. With the influence of high temperatures in July, the whole trade volume has been relatively low. As for market trend in August, most traders are maintaining a wait-and-see stance. Therfore, the market price is expected to be stable for this month. This week, the seamless pipe market of southern China remained stable at high levels. Currently, the trade volume is slack in the southern market and traders are not inclined to purchase much. Overall, the expectation of traders is shifting between negative and positive. There is no strong desire to build up inventories. It is estimated that the market will still fluctuate narrowly at high levels during the coming week. Because billet supply remained stable, the seamless pipe market in the northern market has also followed a stable trend. Some traders have to cut their prices a little in order to attact customers. It is thought that the northern market will see minor fluctuations in the coming week.
Chinese welded pipe market continues to rise
This week the welded pipe market in eastern China continued to rise. Traders are still very cautious. The price rise has been supported by higher costs. However, weak demand will still be a problem for traders. In the short term, the welded pipe market in eastern China will vary between stability and increase. The welded pipe market in northern China has also shown an upward trend. The trade volume remains at a stable level. With the increase in raw material costs, the price of welded pipe in Beijing, Tianjin, and Tangshan kept rising. However, as in the eastern market, demand is not good due to the off-season. Therefore, northern welded pipe prices will keep fluctuating and traders will hold a wait-and-see stance. This week the welded pipe price in Southern China increased obviously. With the strong spport of material costs, the steel mills in southern China continued to increase their quoted prices. Shipments are getting better because of the rising prices. Some experts estimate that in the coming week the southern welded pipe market will return to normal and become stable at high levels.