During the past week, the Chinese hot dip galvanized (HDG) market has fluctuated upward, though the transaction volume has been unsatisfactory. The average HDG prices in the main markets in China are as follows:
Product name |
Specification |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
Thick HDG |
1.0mm x 1,250 mm |
SGCC |
5,773 |
+53 |
880 |
+8 |
Thin HDG |
0.5mm x 1,000 mm |
SGCC |
5,827 |
+10 |
888 |
+2 |
On April 14, the price of SGCC 1.0 mm x 1,250 mm x C HDG is at RMB 5,750/mt ($877/mt), RMB 5,900/mt ($899mt) and RMB 5,670/mt ($864/mt) in the Shanghai, Guangzhou and Boxing markets respectively. Meanwhile, also on April 14, prices of SGCC 0.5 mm x 1,000 mm x C HDG are at RMB 5,700/mt ($869/mt) in the Shanghai market, RMB 6,200/mt ($945/mt) in Guangzhou and RMB 5,580/mt ($851/mt) in the Boxing market. The above prices include 17 percent VAT (US$1 = RMB 6.56).
At present, HDG market prices in China are supported by costs. Lately, prices of upstream products such as HRC have increased, which has also pushed up prices of cold rolled full hard coil. In addition, HDG inventory in the market has declined. At the same time, some traders consider that the government's tightened monetary policy will impact the market, and so they think risks will increase if prices continue to rise. Spot market prices are still lower than ex-mill prices, and some traders are unsure about the future.
It is expected that the Chinese HDG market will continue to fluctuate upward in the coming week.