The UAE market for welded pipes remains sluggish. Despite low inventories, traders prefer to book only small tonnages due to liquidity shortages, while end-user demand is slack amid weak construction activity in the country.
Meanwhile, domestic quotations of welded pipes have started to rise in the UAE under the influence of higher import offers. Local producers of welded pipes have increased their offers by $20-35/mt over the past month.
Import offers of welded pipes from China, India and South Korea have gone up by around $30-50/mt over the same period. Meanwhile, new construction projects are expected to boost steel pipe consumption in the UAE.
UAE domestic prices for locally produced ½"-4" welded pipes with 2-4 mm wall thickness of grade B made to ASTM A53 or BS 1387 are at about $770-785/mt ex-works. Prices are given on theoretical weight basis.
Domestic quotations of ½"-4" welded pipes with 1.5-1.8 mm wall thickness of grade B made to ASTM or BS 1387 are at about $785-870/mt ex-works. Current domestic prices of 1"-4" galvanized ERW pipes with 2-4 mm wall thickness are in the range of $890-965/mt ex-works.
Offers of Chinese ERW pipes up to 10" grade B as per ASTM are being given to the UAE market at about $730-800/mt CFR.
Indian suppliers are offering ERW pipes, 1"-6" as per BS 1387 (light series), to the UAE at $780-800/mt CFR on actual weight basis.
South Korean 10"-20" ERW pipes grade B made to ASTM A53/API 5L are being offered to the UAE at on average $850-880/mt CFR.