(by Kurt Minnich, www.pipe-logix.com) Line pipe prices decreased 2.5% in March with domestic prices down 2.9% and import prices down 2%. Domestic seamless prices experienced the steepest monthly decline, down 4.6%. This marks the 8th month of price declines with the Pipe Logix Index down $185/ton or 9% since July 2018. The price spread between domestic and import items has narrowed over that time frame, especially for seamless items. Distributor’s sentiment remains low with the NASPD Index at 40 for March. Sentiment began declining in June 2018 and dipped below 50, an indication of a contracting market, in September 2018. The price outlook, a component of the NASPD Index, hit its lowest level in March with a score of 21. Estimated shipments in February were down 28% from the surge that was realized in January. This year started with 327,000 tons of imports in January, a 70% jump in volume compared to the trailing monthly average. Domestic supply in January was on par with the trailing monthly average. The drilling rig count has eased 3% since June 2018 with oil prices just under $60/bbl in March and natural gas at $3/mmbtu. The details are attached.
Pipe Logix Line Pipe Report – March 2019
Pipe Exchange
14025 West Road
Suite 100
Houston, TX 77041
- Phone: 713.934.9480
- Fax: 713.934.9490
- Email: sales@pipexch.com