US hot dipped galvanized (HDG) sheet prices have continued to rise as a result of domestic flat rolled mills' $40 to $60/nt ($44/mt or $66/mt or $2.00 cwt. to $3.00 cwt.) March spot price hikes, although most transactions are still shy of producers' announced price levels.
Although domestic HDG pricing is definitely moving up along with other flat rolled products, it is not fully at the levels announced by most mills. It seems that a lot of "deals" were made even after the announcements as mills' used the increases to shore up their order books and extend their lead times.
Still, prices are still trending up and are expected to eventually rise to the announced March levels. Moreover, many expect the momentum to continue for at least the next month and that mills will angle for at least one more price increase in April. Market activity continues to be decent, with mills continuing to push out lead times, though most of the recent buying is thought to be in response to the price increases rather than strong demand.
Since last week, domestic HDG base prices have moved up, on the low end, by about $1.50 cwt. ($33/mt or $30/nt) with most offers now ranging from $35.00 cwt. to $36.00 cwt. ($772/mt to $794/mt or $700/nt to $720/nt) ex-Midwest mills. The current range compares to the $36.50 cwt. ($805/mt or $730/nt) base price mills announced last week.
Domestic offers of 0.019" x 48" G90 (0.48 mm x 1.219 m) have increased by approximately $1.00 cwt. ($22/mt or $20/nt) since last week with most offers now ranging from $46.00 cwt. to $47.00 cwt. ($1,014/mt to $1,036/mt or $920/nt to $940/nt) ex-Midwest mills. Offers of 0.012" x 40.875" G30 (0.30 mm x 1.04 m) have also risen by about $1.00 cwt. since last week, with most offers now ranging from $49.00 cwt. to $51.00 cwt. ($1,080/mt to $1,184/mt or $980/nt to $1,020/nt) ex-Midwest mills, as have offers of Galvalume (0.019" x 41.5625" Gr80/AZ55), with most offers now ranging from $46.00 cwt. to $47.00 cwt. ex-Midwest mills (with a base price of $35.00 cwt. to $36.00 cwt.).
Meanwhile, import HDG is still only offered on a limited basis, with prices trending up along with domestic. Most import offers are not competitive with domestic pricing and few buyers are willing to commit to current pricing at import lead times, which are into June. Still, most offshore sources are perfectly content to sell less tons while maintaining high prices.
There are at present few firm offers for import HDG as many offshore mills are still revising their offers following the US domestic price increases or are not currently offering at all. Current import indications for 0.019" G90 are from both India and Taiwan are at about $47.00 cwt. ($1,036/mt or $940/nt) and above, duty-paid, FOB loaded truck in US Gulf ports.
Indications for 0.012" G30 from India are at about $46.00 cwt. ($1,014/mt or $920/nt), while Taiwanese offers of the same product are currently at about $47.50 cwt. ($1,047/mt or $950/nt), both duty-paid, FOB loaded truck in US Gulf ports. Taiwanese Galvalume offers are also at $47.50 cwt., while Mexico is also offering some Galvalume to the US at a range of $46.00 cwt. to $47.00 cwt. delivered to US border states.