During the week ending June 16, the Chinese domestic hot dip galvanized (HDG) market has moved on a 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 following table.
During the given week, domestic HDG prices have softened and market players have mostly been maintaining a wait-and-see stance. Demand has been slack and is unlikely to improve in the coming hot and rainy season, and this situation will exert a negative impact on HDG prices. Some major steelmakers have lowered their prices. Anshan Iron and Steel Group has issued its ex-works prices for July, lowering its HDG prices by RMB 200/mt ($30/mt) for July delivery, which will reduce support for HDG prices in the spot market. It is expected that HDG prices in the Chinese domestic market will likely indicate a slight downtrend in the coming week.
Product name | Spec. | Category | City | Steel plant/origin | Price (RMB/mt) | Price ($/mt) | Weekly change (RMB/mt) |
Thick galvanized coils | 1.0 mm x 1,250 mm x C | SGCC | Shanghai | Angang | 3,740 | 568 | ↓100 |
Guangzhou | Angang | 3,850 | 585 | ↑100 | |||
Boxing | Angang | 3,500 | 532 | ↓50 | |||
Average | - | 3,694 | 561 | ↓20 | |||
Thin galvanized coils | 0.5 mm x 1,000 mm x C | SGCC | Shanghai | Quantong | 3,360 | 511 | ↓160 |
Guangzhou | Ma steel | 3,750 | 570 | ↓50 | |||
Boxing | Hengtong | 3,040 | 462 | ↓70 | |||
Average | - | 3,384 | 514 | ↓93 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.58 RMB