TP316L Stainless Steel Pipe Market Is In A Dilemma

After the start of June, July and August, the trend of rising and falling TP316L stainless steel pipe has continued to this point. The dilemma of the market outlook has made manufacturers doubtful and they are watching.

Cost: billet and strip steel continue to rise

[Steel billet] On the 11th, Tangshan billet rose 10 to 3440 yuan/ton, and the transaction of direct billet delivery was fair. At present, the steel billet market has tight resources, coupled with the support of raw material cost, manufacturer and stainless steel pipe fittings supplier are still looking forward to the rise.

However, with the recent rise in prices, the market’s fear of heights has gradually become prominent, and the downstream replenishment is more hesitant. In addition, the trend of futures is diving in the afternoon, and the short-term billet price is expected to stabilize.

[Pipe] The current market price has risen steadily, and the transaction is average. The current price of raw materials is slightly stronger, and the mainstream of welded stainless steel pipes and galvanized pipes across the country has risen slightly, and downstream demand is less than expected.

The current price of billet pipes rose slightly, and the price of seamless pipes rose steadily today. Merchants did not deliver smoothly at high levels, and they mainly sold inventory. It is expected that the short-term TP316L stainless steel pipe market may be stable and fine-tuned.

Steel exports: a slight increase

According to the latest data from the General Administration of Customs, in July 2020, China exported 4.176 million tons of steel, an increase of 475,000 tons from the previous month, an increase of 12.8%; the realized export value was US$3.64 billion.

Based on the above data, the cost has driven the price of TP316L stainless steel pipe to rise, but the finished steel is currently in a state of no market, and the market has a certain fear of heights, the transaction has weakened, and the price has also gone two steps and turned back. The TP316L stainless steel pipe market has fallen into a rise. In the dilemma, there are no rash hoarders, but the main inventory is to maintain low inventory and wait and see.