Traders say that they’re still trying to figure out how to accurately price US import J55 ERW OCTG casing offers, because until the Trump administration finalizes its Section 232 exemptions list, all possibilities are on the table.
“Basically, all the mills are saying that all pricing includes the 25 percent Section 232 tariff, and any changes beyond that are the responsibility of the customer,” a source said. “At this point, all anyone can do is to assume a 25 percent tariff no matter what, and maybe we’ll be able to give some money back to the customer at some point in the future.”
Current import J55 ERW OCTG casing pricing from Taiwan in the US domestic market continues to be heard at $50.00-$51.25 ($1102-$1130/mt or $1000-$1025/nt), DDP loaded truck in US Gulf coast ports, which includes the current tariff. Ex-US domestic mill pricing for that same product is being heard at approximately $10 cwt. ($220/mt or $200/nt) above that range.
Customers are still “extremely unhappy” with the new pricing, sources note, adding that acceptance of the “new normal” in steel pricing is still slow.