After dropping the last couple weeks, it is unlikely that import J55 electric resistance welded (ERW) oil country tubular goods (OCTG) casing offers to the US have bottomed just yet. Currently, Korean and Taiwanese offer prices to the US are unchanged from last week at $48.00-$50.00 cwt. ($1,058-$1,102/mt or $960-$1,000/nt) DDP loaded truck in US Gulf ports, and while the offshore mills are trying to resist lowering prices (traders are trying to keep their resale prices up as well), the lull in order activity, coupled by an overall demand slowdown in the Far East, could result in another decline sooner rather than later. Vietnamese prices are still about $0.50-$1.00 cwt. ($11-$22/mt or $10-$20/nt) lower, but if Korean prices fall, Vietnamese mills will follow suit.
In addition to price uncertainty, sources tell SteelOrbis that threats of a trade case on OCTG is keeping many US buyers wary of imports. While there is nothing official that an anti-dumping case may be looming, one southern trader explained that even just the possibility of it will keep the bulk of US buyers cautious with placing an offshore order. But, with US domestic mills' availability on commodity grades of OCTG casing, there is no shortage of pipe to be found, which has been dragging down US domestic spot prices as well. In general, the spot range remains $65.00-$66.00 cwt. ($1,433-$1,455/mt or $1,300-$1,320/nt) ex-Midwest mill, but some mills are offering selective price cuts as necessary to remain competitive with imports.