Business activity in the Saudi Arabian market for welded pipes has slowed over the past month as the end of the year approaches. Saudi traders are holding back from buying as most of them have sufficient stock levels, while end-users are reducing their purchases at the end of the year.
In such market conditions, Saudi welded pipe producers have not revised their prices over the past month. Demand is expected to pick up in January, and Saudi pipe producers may raise their offers, considering also the rising price trend in the international flat steel segment.
Quality Saudi Arabian manufacturers, approved by Saudi Aramco, are offering 6"-10" welded steel pipes grade B as per API 5L with plain ends at around $950-1,000/mt ex-works on theoretical weight basis.
Current offers from Saudi Arabian commercial producers for 2"-8" ERW pipes grade A, B as per ASTM A53 are being given to the domestic market at $900-950/mt delivered on theoretical weight basis.
Export quotations from Saudi Arabia of 6"-10" welded steel pipes grade B made to API 5L from quality producers are at $1,000-1,050/mt FOB, while export offers of 2"-8" ERW pipes from Saudi commercial producers are at $920-975/mt FOB.
Import offers of Chinese welded pipes of 2"-6" grade B made to ASTM A106/API 5L are being given to the local Saudi market at around $750-800/mt CFR, compared to $740-800/mt CFR in November.