Demand for welded pipe in China has performed better in the past week than domestic demand for seamless pipes, while the overall price trend for steel pipe in China has indicated stable movement.
As of April 6, 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 $823/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $852/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 standing at $708/mt and $710/mt. All the above prices include 17 percent VAT.
The seamless pipe market in China has maintained a stable trend in the past week. The demand side has remained slack, while traders are continuing to try to attract sales. Meanwhile, although cost pressure is increasing, traders are under significant pressure from high inventory levels and generally are not very optimistic for the future trend of the market. Observers state that it is important to remain confident but also cautious in the current market juncture. It is expected that the seamless pipe market in China will be characterized by minor fluctuations in the coming week.
While demand for welded pipe in China has rebounded somewhat, uncertainty still surrounds the future trend of the market. Supplies in the market are on the tight side and the trading volume has shown some improvement. Accordingly, traders may seek to raise their prices a little. The Chinese welded pipe market may see some slight upward movement in the coming seven days.