Import CFR offer prices for Vietnamese unfinished J55 electric resistance welded (ERW) oil country tubular goods (OCTG) casing have increased by $20/mt since our last report a week ago, although whether that increase will be absorbed remains to be seen. Vietnamese prices were previously on par with Korea, Taiwan and India, whose sales prices continue to be in the approximate range of $44.00-$45.00 cwt. ($970-$992/mt or $880-$900/nt) DDP loaded truck in US Gulf ports. Trader sources said that Asian mills are still bearing the brunt of increased raw materials costs in the Far East, but the market is not robust enough for those costs to be passed onto customers.
Meanwhile, US domestic spot prices for finished J55 ERW OCTG remain between $61.00-$62.00 cwt. ($1,345-$1,366/mt or $1,220-$1,240/nt) ex-Midwest mill, although the now six-week trend of some distributors offering deals as much as $5.00-$6.00 cwt. ($100-$132/mt or $100-$120/nt) below this range has sustained. Order activity and inquiries are still steady yet light, according to industry insiders, and customers are only placing as-needed orders to keep inventory levels tight.