US domestic hot dipped galvanized (HDG) spot prices have stopped deteriorating as order activity begins to rise and mills push for higher prices.
Order activity in the US domestic HDG market has shown a noticeable uptick in the last week following $3.00 cwt. ($66/mt or $60/nt) price increases from a number of flats mills on spot orders of hot rolled coil (HRC), cold rolled coil (CRC), hot dipped galvanized (HDG) and Galvalume coil. Sources tell SteelOrbis that while most new orders are still being placed at $37.00-$39.00 cwt. ($816-$860/mt or $740-$780/nt) ex-Midwest mill for HDG base and $38.00-$40.00 cwt. ($838-$882/mt or $760-$800/nt) ex-Midwest mill for Galvalume base--both unchanged from last week--some mills have been trying to push for increases on new orders.
While actual domestic spot prices haven't moved up, deals being made under the current spot ranges for HDG and Galvalume coil--which had been the norm over the last couple months--have now dissipated. Nonetheless, although domestic mills are "busily booking orders" according to one East Coast buyer, the pick-up in activity over the last week may only be temporary as end-use demand levels remain weak, and domestic availability is over-abundant, resulting in lead times that are still as short as two to four weeks.
| Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
| US domestic HDG base price | $37.00-$39.00 | $816-$860 | $740-$780 | neutral |
| 0.012"x40.875" G30 | ||||
| ex-Midwest mill | $48.00-$49.00 | $1,058-$1,080 | $960-$980 | neutral |
| 0.019"x48" G90 | ||||
| ex-Midwest mill | $47.50-$49.50 | $1,047-$1,091 | $950-$990 | neutral |
| US domestic Galvalume base price | ||||
| ex-Midwest mill | $38.00-$40.00 | $838-$882 | $760-$800 | neutral |
| 0.019x41.5625 Gr80/AZ55 | ||||
| ex-Midwest mill | $48.00-$49.00 | $1,058-$1,080 | $960-$980 | neutral |
Even if US domestic HDG and Galvalume spot prices do show some firming over the next couple weeks, US buyers will still likely shy away from booking too much offshore, as most import prices are higher than US domestic spot prices. Taiwanese prices of HDG 0.019" x 48" G90 are now $53.00-$55.00 cwt. ($1,168-$1,213/mt or $1,060-$1,100/nt) DDP loaded truck in US Gulf ports--up $2.00 cwt. ($44/mt or $40/nt) from the last prices heard two weeks ago. Taiwanese Galvalume 0.019x41.5625 Gr80/AZ55 prices for the US are up $2.00 cwt. in the last week to $52.50-$53.50 cwt. ($1,157-$1,179/mt or $1,050-$1,070/nt) DDP loaded truck in US Gulf ports.
Elsewhere, Chinese mills are also likely to increase HDG offer prices to the US in the next few days after increasing their offer prices for CRC to the US in the last week. Indian mills raised their HDG prices to the US $1.00 cwt. ($22/mt or $20/nt) about two weeks ago, but traders tell SteelOrbis that Indian mills are beginning to hesitate on the increase because of no interest from US buyers.
| Import HDG offers to the US | Cwt. | Metric ton (mt) | Net ton (nt) | Change from last week |
| 0.012"x40.875" G30 | ||||
| India* | $50-$51 | $1,102-$1,124 | $1,000-$1,020 | neutral |
| China* | $48.50-$49.50 | $1,069-$1,091 | $970-$990 | neutral |
| Mexico** | $49-$50 | $1,080-$1,102 | $980-$1000 | neutral |
| 0.019" x 48" G90 | ||||
| China* | $48.50-$49.50 | $1,069-$1,091 | $970-$990 | neutral |
| India* | $52-$54 | $1,146-$1,190 | $1,040-$1,080 | neutral |
| Mexico** | $48-$49 | $1,058-$1,080 | $960-$980 | neutral |
| Taiwan* | $53-$55 | $1,168-$1,213 | $1,060-$1,100 | newly offered |
| Import Galvalume offers to the US | ||||
| 0.019x41.5625 Gr80/AZ55 | ||||
| Taiwan* | $52.50-$53.50 | $1,157-$1,179 | $1,050-$1,070 | ↑$2.00 cwt. |
| Mexico** | $49-$50 | $1,080-$1,102 | $980-$1000 | neutral |
| China* | $52-$53 | $1,146-$1,168 | $1,040-$1,060 | neutral |
| India* | $53-$54 | $1,168-$1,190 | $1,060-$1,080 | neutral |
**DDP loaded truck delivered into Houston