Business activity remains low in the Chinese welded pipe market amid poor demand from consuming industries. However, Chinese producers of welded pipes have generally kept their domestic and export quotations within a stable price range over the past two weeks, while Chinese traders have reduced their offers by RMB 10-90/mt ($3-16/mt).
Most market players expect to see better market conditions in the coming period in view of the traditional peak consumption season and higher investments in real estate and railway. Meanwhile, demand for Chinese welded pipes still remains slack both at home and abroad.
Current offers of locally produced 2"-6" welded pipes of grade B as per ASTM A53 are being given to the Chinese domestic market at an average of RMB 4,300-4,500/mt ($697-729/mt) ex-works. These local market welded pipe prices include 17 percent VAT. Traders in Shanghai are offering Q215-Q235 welded pipes made to GB/T3091 at around RMB 3,760-3,950/mt ($609-640/mt) ex-warehouse, while stockists in the cities of Tianjin and Beijing are offering similar pipes at RMB 3,680-3,760/mt ($596-609/mt) ex-warehouse.
Current export prices of welded pipes from large Chinese mills, 2"-10" grade B according to ASTM A53, are at around $650-680/mt FOB on actual weight basis.