Weekly review of seamless pipes: market stocks increase and prices rise slightly.

The domestic seamless pipe market price rose slightly this week. In terms of market: the domestic market deals generally, focusing on digesting inventory, and adopting the strategy of small profits but quick turnover. In terms of inventory: the national social inventory of seamless pipes is 739,900 tons, which is a decrease of 11,100 tons compared with last week. Traders have a general mentality. The market is cautious in the later stage, and it is expected that the national seamless pipe market will fluctuate next week.

Regional comment:

East China：The price of seamless pipes in the East China market was adjusted strongly this week. The price of Φ108*4.5mm in East China is 4180-4850 yuan/ton, and the price of Φ219*6mm is 4250-5200 yuan/ton. Details are as follows:

In terms of the market: this week, seamless pipes in the East China market were generally strong and adjusted, and individual mainstream cities remained stable and wait-and-see. It is understood that the rainy season of the rainy season seamlessly connects with the high temperature and rain in the mainstream market, which has a greater impact on the transaction. The overall ex-factory price of the management plant is high, and the cost of the business is gradually increasing. However, when the market outlook is weak, the price adjustment is cautious. It is expected that the price of seamless pipes in the East China market will remain high in the short term, with narrow adjustments.

Northwestern Region：The price of seamless pipes in Northwestern China is temporarily stable this week. As of press time, the mainstream price of 108*4.5mm Linyi Jinzhengyang seamless pipe in Xi’an market is 4450 yuan/ton; the price of 219*6mm Linyi Jinzhengyang seamless pipe in Lanzhou market is 4700 yuan/ton.

In terms of raw materials: today, Shandong’s hot-rolled tube billet rose by 10 yuan/ton, Φ75-130mm steel mills directly issued taxes including: Luli 3790 yuan/ton (less cargo), Weigang 3800 yuan/ton, Tiangang 3800 yuan/ton, Jiangxin is 3780 yuan/ton, and the overall billet price is 10-20 yuan/ton lower than last Friday’s price.

In terms of market: this week, the price trends of billet mills and seamless tube mills have diverged. The market price of seamless tubes in Southwest China is mainly stable and shipments are average. It is currently in the off-season for consumption, but the profit of the seamless pipe factory is meager and the price is intentionally high. The billet factory did not deliver well, and the billet price was slightly lowered. This week, the seamless pipe factory slightly raised its ex-factory price. Market traders are more optimistic and the market shipments are acceptable. It is comprehensively estimated that the Southwest seamless pipe will operate in a narrow range in the short term.

On the market side: this week, the prices of tube billet plants and seamless tube mills have diverged in two levels. On the one hand, tube mills currently have meager profits and obvious cost support. However, due to low production enthusiasm, billet purchases have decreased and billet prices have fallen On the other hand, because merchants generally wait and see the market outlook and the market inventory is relatively small, the operation mainly focuses on small batches of continuous procurement, which supports the price of the tube factory. Comprehensive consideration, demand is still an important factor affecting prices. Internal prices may fluctuate to adjust.