During the week ending April 28, Chinese domestic hot dip galvanized (HDG) prices have risen for thin specifications and softened for thick specifications. Overall transaction activity in the market has been at decent levels. Average HDG prices in the local Chinese market are presented in the table below.
During the given week, due to short supply for thin HDG, prices of these products have followed a slight uptrend. Meanwhile, major Chinese steelmaker Anshan Iron and Steel (Ansteel) has increased its ex-works prices for May delivery by a further RMB 300/mt ($46/mt) and has now increased its HDG prices by a total of RMB 600/mt ($93/mt), providing support from the cost side for HDG spot market prices. However, in the latter part of the given week, other finished steel prices in China have softened, negatively impacting sentiment among HDG traders, who are now more willing to sell at lower prices. It is thought that HDG prices in the Chinese domestic market will likely move sideways or indicate a slight downtrend in the coming week as traders will seek to sell products and bring in cash after the sharp price rises recorded in previous weeks.
Product name | Spec. | Category | City | Steel plant/origin | Price (RMB/mt) | Price ($/mt) | Weekly change (RMB/mt) |
Thick galvanized coils | 1.0 mm x 1,250 mm x C | SGCC | Shanghai | Angang | 4,580 | 707 | ↓20 |
Guangzhou | Angang | 4,450 | 687 | ↓100 | |||
Boxing | Angang | 3,940 | 608 | ↑30 | |||
Average | - | 4,323 | 667 | ↓30 | |||
Thin galvanized coils | 0.5 mm x 1,000 mm x C | SGCC | Shanghai | Quantong | 4,100 | 633 | 0 |
Guangzhou | Ma steel | 4,300 | 664 | 0 | |||
Boxing | Hengtong | 3,620 | 559 | ↑70 | |||
Average | - | 4,007 | 618 | ↑23 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.48 RMB