At present, there is just modest demand in the UAE market for welded pipes. However, local producers of welded pipes have increased their offers by around $20/mt over the past month mainly due to more expensive flat steel products. Chinese suppliers have not changed their offers, while offers of Indian ERW pipes have gone down by $40-50/mt over the past month amid strong competition. At the same time, South Korean suppliers have raised their quotations by $25-30/mt. Market participants believe welded pipe prices in the UAE are likely to go up further as production costs are increasing. At the same time, demand for welded pipes will not rise significantly as construction activity is not expected to revive until June.
UAE domestic prices for locally produced ½"-4" welded pipes with 2-4 mm wall thickness of grade B made to ASTM A53 or BS 1387 are at about $800-860/mt ex-works. Prices are given on theoretical weight basis.
Domestic quotations of ½"-4" welded pipes with 1.5-1.8 mm wall thickness of grade B made to ASTM or BS 1387 are at about $830-910/mt ex-works. Current domestic prices of 1"-4" galvanized ERW pipes with 2-4 mm wall thickness are in the range of $970-1,020/mt ex-works.
Offers of Chinese ERW pipes up to 10" grade B as per ASTM are being given to the UAE market at about $800-850/mt CFR.
Indian suppliers are offering ERW pipes, 1"-6" as per BS 1387 (light series), to the UAE at $860-880/mt CFR, $40-50/mt lower than one month ago.
South Korean 10"-20" ERW pipes grade B made to ASTM A53/API 5L are being offered to the UAE on average at $950-1,000/mt CFR.