Expectedly, the US domestic market for J55 electric resistance welded (ERW) oil country tubular goods (OCTG) casing and API X-42 ERW line pipe has been quiet over the past week, but signs are pointing to a strong uptrend in prices early next year. Both US domestic OCTG casing and line pipe spot prices, currently between $65.00-$66.00 cwt. ($1,433-$1,455/mt or $1,300-$1,320/nt) ex-mill and $62.00-$63.00 cwt. ($1,367-$1,389/mt or $1,240-$1,260/nt) ex- mill, respectively, are unchanged from last week. However, the US domestic flat-rolled spot market continues to exude a strong uptrend, with spot prices increasing about $2.00-$3.00 cwt. ($44-$66/mt or $40-$60/nt) throughout December. Additionally, while the overall US rig count was down by 11 last week, rigs drilling for oil increased by 16, following a 35-rig jump the previous week, indicating continued strong demand for oil, and consequently, energy tubular products.
Meanwhile, import activity for energy pipe products has also been largely silent this week, with no major movements in offer prices to the US from offshore sources. After increasing over the last couple weeks, J55 ERW OCTG casing offer prices from Korea and Taiwan are stagnant in the range of $51.00-$52.00 cwt. ($1,124-$1,146/mt or $1,020-$1,040/nt) DDP loaded truck in US Gulf ports. Vietnamese and Turkish prices are also unchanged, still $50.50 cwt. ($1,113/mt or $1,010/nt), and $51.00 cwt., respectively, DDP loaded truck in US Gulf ports.
Similarly, Korean API X-42 ERW line pipe prices in the US have remained unchanged and can still be found between $48.00-$49.00 cwt. ($1,058-$1,080/mt or $960-$980/nt) DDP loaded truck in US Gulf ports, after increasing by $1.00 cwt. ($22/mt or $20/nt) a week ago.