Pipe Demand in Oman Is Weak as Economic Activity Is Slowing

Pipe demand in Oman is weak as economic activity is slowing due to the upcoming Ramadan period and summer holidays. Prices are unchanged from mid-July but a small increase in pipe making raw material costs is squeezing producers' profit margins, Steel Business Briefing learns from market sources. In the domestic market, longitudinal welded pipe of 2mm wall thickness and above is being offered at around $900/tonne, while prices of the same size galvanized pipe have been pegged at $1,040/t since the second week of July. Pipe prices previously dropped $20/t in the second week of July, as reported. "Currently, prices of finished products are stable but we have observed an uptrend in prices of pipe making raw material for September shipment," says an Omani pipe maker. "Offers of hot rolled coil are now $20-30/t higher compared to previous offers." "Demand will increase after the summer vacation and Ramadan, resulting in an increase in prices," he adds. Source: sbb.com