Paralyzed oil and gas demand shakes US OCTG and line pipe prices

Prices for oil country tubular goods (OCTG) and electric-resistance welded (ERW) line pipe mostly moved lower in the United States in April, while market sentiment was shaken by an oversupply of oil and gas and lack of demand due to the Covid-19 pandemic.

“I have no reason to shop for pipe right now, I have no reason to be current on pricing,” one distributor said. “I don’t even know what a real price is anymore.” Fastmarkets’ assessment for steel ERW line pipe (X52), fob mill US fell by $30 on the low end to $850-950 per short ton ($42.50-47.50 per hundredweight) on Tuesday April 28, widening lower from $880-950 per ton in March. On the imports side, the prices for steel ERW line pipe (X52) import South Korean-made, cif Houston and steel ERW line pipe (X52) import non-South Korean-made, cif Houston also declined on the low end to $750-850 per ton ($37.50-42.50 per cwt) and $720-800 per ton ($36-40 per cwt) respectively. “If you’re lucky enough to have...

Published

Elizabeth Ramanand

April 29, 2020

19:11 GMT

New York