Galvanized coil market price shows slight decrease in China

SteelOrbis Shanghai Though the CRC market price went up to some extent, as the weather gradually turned cold, the demand in the building industry for GI underwent an obvious decline. This was the main reason for the drop in the GI market price this week. On December 7, the average market price of 1.0 mm galvanized coil was RMB 5,610/mt ($716), down RMB 40/mt ($5) compared with last week; that of 0.5 mm galvanized coil is RMB 5,883/mt ($751), down RMB 7/mt ($1) compared with the price last weekend. Meanwhile, the average market price of 0.23 mm galvanized coil imported from Indian Bhushan company is unchanged at RMB 7,200/mt ($913). At present, the difference between the market prices of GI and CR has been about RMB 1000/mt ($128). In a situation where competition in the GI market is getting fiercer and fiercer, it is very reasonable to see the GI market price drop to some extent. The trading volume was down a little compared with last week, while market inventories did not change much. On the other hand, the new GI ex-factory prices of several steel mills released this week were the same as their previous levels. The unchanged prices of Angang, WISCO and Wuxi NewDaZhong GI will provide support for a steady GI price trend in the upcoming period. Meanwhile, the domestic zinc price rebounded slightly this week. The current price is RMB 37,000/mt ($4725), up RMB 1,000/mt ($128) compared with last week. Summing up, the market price of GI is expected to maintain its stable trend of slight decrease next week.