International price of oil well seamless pipe increases by around US$ 100 per tonne for spot transaction of middle grade of heat treated L80 pipe with special screw when US market recovers. Japanese pipe makers offer wide price hike to adjust low price and to reflect potential higher raw materials cost.
US pipe makers already increased the selling price by US$ 75-100 per tonne for January-March. The market accepts the higher price under higher demand and lower inventory. The market condition actually improves enough to accept higher price. Oil development companies again try to develop the resources when crude oil price keeps around US$ 80 per barrel and natural gas market recovers as well. Pipe makers get higher order for oil well pipe when oil well demand actually increases mainly in areas other than USA, according to a Japanese pipe maker source. US demand also recovers after the demand already started to recover in Europe, Middle East and Asia. US rig count increases gradually while Chinese oil well pipe export stopped after US commerce department decided the preliminary countervailing duty for Chinese products. US oil well pipe inventory decreased to around 7 months compared with the peak of 15 months stock.M | T | W | T | F | S | S |
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Japan Steel Scrap Composite Prices (Sangyo Press)
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