Orders, activity and inquiries within the US domestic and import J55 ERW OCTG casing markets are steady but sluggish, sources note, adding that overall market demand has begun its year-end taper.
Ex-mill pricing for US domestic J55 ERW OCTG casing is still trending in the range of $60.00-$62.50 cwt. ($1,322-$1,378/mt or $1,200-$1,250/nt), although service center spot market pricing, however, is “all over the map.”
“Deals are out there,” a source said. “Every seller that built up inventory before Section 232 is becoming increasingly motivated to sell before the end of the year.”
The desire to thin inventories in advance of the close of the year is being driven by a desire to avoid paying the year-end inventory tax.