US domestic mills have been making quiet deals on API X-42 electric resistance welded (ERW) line pipe for months now, but in the last couple weeks deals have become more prevalent and domestic spot prices have fallen to $62.00-$63.00 cwt. ($1,367-$1,389/mt or $1,240-$1,260/nt) ex-Midwest mill, a $1.00 cwt. ($22/mt or $20/nt) decline in the last week. Sources tell SteelOrbis that while line pipe demand is consistent, there is still more room for domestic line pipe prices to fall, especially with significantly lower import prices drawing many US buyers to look offshore.
Although import activity has been mostly silent in the last week, as result of the upcoming Thanksgiving holiday and anticipation that offer prices to the US could soften further, bookings are expected to experience an uptick in early December. For now, API X-42 ERW line pipe prices from Korea in the US are still unchanged from last week in the range of $47.00-$48.00 cwt. ($1,036-$1,058/mt or $940-$960/nt) DDP loaded truck in US Gulf ports, after falling $0.50 cwt. ($22/mt or $20/nt) a week ago.