US pipe prices moved higher this week following Donald Trump’s successful presidential victory on Tuesday, November 5, as many pipe suppliers now expect renewed and potentially higher tariffs on imports to reduce further reduce domestic supply availability, pipe market insiders told SteelOrbis this week.
“Supplies could get real tight if the new president delivers on his promises to increase tariffs on imports,” said one Texas-based pipe supplier.
“Current imports of pipe are pretty flat,” said another California-based pipe dealer. “Mills have been very competitive on pricing to fend off imports. Now that the election is over, hopefully demand will improve.”
Standard ERW pipe on an ex-mill basis US Midwest is discussed at $1,250-1,300/nt ($1,378-1,433/mt), or $62.50-65/cwt., up from recent pricing at $1,050-1,070/nt or $1,157-1,433/mt), market insiders said.
US domestic J55 ERW OCTG casing carbon grade material on an FOB mill basis is reported slightly higher in thin trade at $1,300-1,400/nt ($1,433-1,543/mt) or $65.00-70.00/cwt, market insiders said.
In the hollow sections market, HSS pipe on an ex-mill US Midwest basis is discussed at $1,150/nt ($1,268/mt) or $57.50/cwt., market insiders said. This compared with most recent SteelOrbis assessments at $1,040-1,060/nt ($1,146-1,168/mt), or $52.50-53.50/cwt., pipe insiders said.
Another market insiders said President-elect Trump’s recent victory could cause flat steel and pipe pricing to increase in the near term, as domestic demand improves and levels of imports slip.
“We're seeing flat this week on hot rolled coils, but we’re hearing that the mills are going to increase their prices from $50.00 to $100.00 per ton over the next month following the Trump victory,” one Gulf Coast pipe insider told SteelOrbis. “Tariffs are expected to reduce imports, so the mills will have more room to raise their prices.”
