Trading activity remains slow in Chinese domestic steel pipe market

The Chinese domestic steel pipe market has mostly followed a stable trend in the past week, though minor decreases in prices have also been witnessed.. 
 
As of August 14, 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 $629/mt, with 20# (GB/T8163-1999) grade 219 mm x 6 mm seamless pipe at $656/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 $545/mt and $552/mt respectively. All the above prices include 17 percent VAT.
 
The Chinese domestic seamless pipe market has mostly moved sideways during the past week, with prices being reduced slightly in just a few local markets in order to attract demand though this strategy does not seemed to have worked well. The overall trading volume in the market is still low. Meanwhile, billet prices have also been stable. Current market prices are accepted by most traders and, with supply and demand remaining in equilibrium, the domestic seamless pipe market will likely see unchanged prices in the coming week.
 
The domestic welded pipe market in China has seen mostly stable prices and sluggish demand in the past week. Upstream steel strip prices have decreased slightly, contributing to minor downticks in some traders' quotations. Overall, traders are still cautious and are inclined to keep their prices stable. The Chinese domestic welded pipe market is expected to follow a sideways trend in the week ahead.