During the week ending May 19, Chinese domestic hot dip galvanized (HDG) prices have indicated an overall downward trend. Overall transaction activity in the market is now at low levels. Average HDG prices in the local Chinese market are presented in the table below.
During the given week, since some traders' HDG inventory levels have been at relatively high levels, they have chosen to lower prices to stimulate sales and bring in cash. Recently, new HDG supplies from domestic steelmakers Anshan Iron and Steel Co. (Ansteel) and Shougang Iron and Steel Co. (Shougang) have arrived in the market, easing the shortages of supply in the HDG market. However, due to high costs, traders are expected to be less willing to buy HDG supplies from steelmakers, which will likely weaken demand in the market. It is expected that HDG prices in the Chinese domestic market will likely edge down slightly in the coming week.
Product name | Spec. | Category | City | Steel plant/origin | Price (RMB/mt) | Price ($/mt) | Weekly change (RMB/mt) |
Thick galvanized coils | 1.0 mm x 1,250 mm x C | SGCC | Shanghai | Angang | 4,160 | 636 | ↓50 |
Guangzhou | Angang | 3,970 | 607 | ↓130 | |||
Boxing | Angang | 3,600 | 550 | ↓30 | |||
Average | - | 3,910 | 598 | ↓70 | |||
Thin galvanized coils | 0.5 mm x 1,000 mm x C | SGCC | Shanghai | Quantong | 3,930 | 601 | ↓80 |
Guangzhou | Ma steel | 4,200 | 642 | ↓200 | |||
Boxing | Hengtong | 3,290 | 503 | ↑20 | |||
Average | - | 3,807 | 582 | ↓87 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.54 RMB