During the week ending March 6, average Chinese steel pipe export offer prices have moved down amid the declining trend of HRC futures prices. At present, export offers for welded pipe given by Chinese suppliers are in the range of $560-580/mt FOB, decreasing by $30/mt compared to February 28, while export offers for API 5L seamless pipe given by Chinese suppliers are at $580-590/mt FOB, for May shipment, down by $20/mt compared to February 28.
|
Product name |
Quality |
Spec. |
Price ($/mt) FOB |
Weekly change ($/mt) |
|
API 5L seamless pipe |
Gr.B |
2’’-6’’ Std |
585 |
-20 |
|
Seamless pipe, casing (hot rolled forming) |
J55 |
3’’-8’’ Std |
585 |
-20 |
|
Seamless pipe, tubing (cold drawn forming) |
ST37 |
< 3’’ Std |
705 |
-5 |
|
Welded pipes |
Gr.B |
2’’-6’’ Std |
570 |
-30 |
During the given week, though China has set its growth target for gross domestic product (GDP) at five percent for 2024, news of 12 high-risk-debt provinces and cities being requested to slow down or halt construction of infrastructure projects has exerted a negative impact on market sentiments. Moreover, some projects are negatively affected by shortages of funds, also weakening the support for the steel pipe market. As the weather gradually becomes warmer, more construction sites will likely resume construction activities, which will boost the demand for steel pipes to a certain degree. It is expected that steel pipe prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of March 6, HRC futures at Shanghai Futures Exchange are standing at RMB 3,844/mt ($541.4/mt), decreasing by RMB 76/mt ($10.7/mt) or 1.94 percent since February 28, while down by 0.77 percent compared to the previous trading day, March 5.
$1 = RMB 7.1016