Mexican domestic hot dipped galvanized (HDG) prices increased by a moderate US$4/mt in the last two weeks to settle at US$902/mt ex-mill. Sources tell SteelOrbis that while there was optimism for the market in earlier part of the year, the industry is taking a "break", according to financial sources.
The first, and most important, reason is that while certain economic reforms have been approved, the most important reforms--such as energy and fiscal--are expected to come to fruition soon.
Another reason for the break is due to the meager 1.8 percent growth rate in the Mexican economy, which has been reduced from an estimated 3.1 percent.