Chinese HDG market rises slightly amid fluctuations

Thursday, 08 March 2012 12:20:33 (GMT+3)   |  
During the week ending March 8, prices of hot dip galvanized (HDG) have on the whole risen slightly in the Chinese domestic market. Average prices of HDG in China can be viewed in the SteelOrbis price reports section. 

In the past week, HDG prices in China have seen both upward and downward movement. However, domestic HDG prices are now slightly higher than they were one week ago. Supported by upstream costs and also by the fact that ex-mill prices are higher than market prices, prices of HDG in China are generally not expected to drop below previous bottom levels. Given their sufficient inventories and narrow profit margins, traders are not so active in purchasing HDG at the present time. They are mostly maintaining a wait-and-see stance or just buying the minimum tonnages necessary to meet their daily requirements. At the same time, demand from downstream industry has not been released fully. It is expected that the trend in the Chinese HDG market in the coming week will be similar to that of the past week.

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