There are many supporting factors for China's API 5L grade B coil prices in 2021

The main factors affecting API 5L grade B coil prices are cost, demand, currency and market sentiment. In 2021, China's domestic demand is likely to rise steadily. The overseas economy will continue to recover, and the demand for API 5L grade B coil will also increase.

In terms of cost, the fundamental preference of the main raw materials, the production cost of API 5L grade B coil is also at a high level; as the impact of the epidemic has not yet been eliminated, the probability of the world's major economies continuing to maintain monetary easing is relatively high. Overall, there are many favorable factors supporting the price of API 5L grade B coil.

The demand for API 5L grade B coil is expected to grow this year, and the gap in supply and demand caused by reduced production may be made up by reducing exports and increasing imports. The price difference between the domestic API 5L grade B coil price and the overseas price is a key factor affecting import and export. At present, the overseas market price is higher than the domestic price, which is not conducive to imports. The increase in steel imports needs to narrow the price difference. From this point of view, the domestic API 5L grade B coil price is also positively supported.