During the week ending November 20, Chinese domestic hot dip galvanized (HDG) prices have indicated a slight downtrend, while overall transaction activity has remained at poor levels. Average HDG prices in the local Chinese market can be viewed in the SteelOrbis price reports section.
During the given week, several Chinese steelmakers, including Hebei Iron and Steel Group and Beijing-based Shougang have made slight downward adjustments to their HDG prices for December deliveries, exerting a negative impact on the trend of the domestic HDG market. In the meantime, as the Asia-Pacific Economic Cooperation (APEC) meeting has ended, market supply has seen a gradual recovery, while most traders have been selling at slightly lower prices in order to stimulate sales. At the same time, with the weather getting colder, demand from downstream users has hardly indicated any improvement and so market participants are mostly adopting a cautious stance. It is expected that HDG prices in the Chinese domestic market will continue to follow a slight downtrend in the coming week.