Weekly Review of Welded Pipe Market (12.17-12.21)

Weekly Review of Welded Pipe Market (12.17-12.21)

Welded pipe prices and galvanized pipe prices have risen sharply this week, with general market turnover and general downstream demand.

Raw Material: Today, Tangshan Ruifeng Strip Steel rose 50, 335-360 to 3720, 635-610 to 3700, 685-720 to 3700 with tax. This week, the prices of welded and galvanized pipes in the North China market have risen sharply, and the market turnover is normal. This week, the news of environmental protection shutdown continued to increase. In the background of low inventory, steel prices continued to rebound upward. Driven by this cost, the price of galvanized welded pipe may rise. However, considering the traditional off-season, market demand is limited, the merchants are still cautious. It is expected that the price of pipe will surge upward next week.

Scaffolding pipe: This week, the price of scaffolding pipe soared sharply. By the time of publication, the mainstream cash tax in the market was 3970-4020 yuan/ton, up 130 yuan/ton from last week. Price: This week’s price volatility of strip steel tends to be strong, 145 narrow band at the time of publication with tax return of 3750 yuan/ton, up 140 yuan/ton from last week. In terms of start-up rate, 99 production lines of scaffolding pipes in Tangshan were shut down this week, 88 of them were shut down, and the start-up rate was 11.11%, down 3.03% from last week. Dealing: Scaffold pipe prices rebounded sharply this week, overall shipment is generally weak. It is understood that the supply and demand of Tangshan scaffolding market are weak this week. On the one hand, affected by environmental restrictions on production, some management factories in Fengnan and Fengrun areas of Tangshan stopped production and maintenance, resulting in a decline in the supply of resources; on the other hand, the government promulgated the policy of dismantling illegal construction and relocation, so that the demand of the Tangshan market, which is in the cold winter season, has intensified, directly affecting the weak transaction situation. Yesterday (Dec. 20) Tangshan’s production restriction was further intensified and the supply side tightened further, reflecting a sharp rise in prices of about 100 yuan. Under the favorable macro-policy conditions, price shocks became stronger and winter storage, which people are most concerned about, became the most prudent topic in the market. With the current market, winter storage is more likely to wait and see for a while. In conclusion, it is expected that the price fluctuation of scaffolding pipe in Tangshan will become stronger next week.