NEW YORK A
dumping and subsidy complaint against producers of oil country
tubular goods (OCTG) in nine countries may put increased
pressure on the line pipe market, sources told
"I would expect it to.
There will be more of a focus on that market (by foreign
producers). There is all this capacity that will change its
focus to another product," one trader said, noting that foreign
mills had already stepped up their offers of line pipe as well
as standard pipe.
"They (foreign mills)
are pushing line pipe right now, but theyre not being
very successful at it," a southern distributor source said,
attributing that to tepid market conditions.
Steel Corp. said its second-quarter results were affected by
declining line pipe prices (
amm.com, July 29).
As a result of the
slow market, line pipe prices have stagnated at comparatively
low levels this month, with tags for domestic X42 holding
steady at $1,020 per ton and imported X42 remaining at $820.
The price of domestic J55 casing has ticked up to $1,150 per
ton from $1,125 previously, and imported J55 casing has climbed
to $850 per ton from $820 as a result of the anti-dumping case
and rising coil prices both domestically and in Asia.
While prices for some
OCTG products have picked up slightly as a result of the trade
case, imports are unlikely to be crimped until the case moves
further along, with the ITC expected to make a preliminary
decision by Aug. 16 and the Commerce Department by Dec. 9 (
amm.com, July 11).
Russian producer OAO
TMK said it does not expect U.S. imports from the nine
countries to drop significantly this year as a result of the
trade complaint (
amm.com, July 25).
However, some market
participants said they have raised their prices due to a pickup
in sentiment following the filing of the case. "Ive got
my numbers up fifty bucks already," one trader said.
however, that the true effects of the case might only be felt