Ex-China hot dip galvanized (HDG) prices from most mills have moved sideways this week, however, given the slightly rising HRC futures prices some offers from traders have been reported at higher level.
Specifically, offers from large mills remained at around $700/mt FOB for December shipment. Meanwhile, the reference deal prices for ex-China HDG have been heard at $660-690/mt FOB, increasing by $10/mt on the lower end of range week on week.
At the same time, during the given week, HDG prices in the Chinese domestic market have seen declines amid the fluctuating trend in HRC futures prices. Since demand has not improved significantly, market players mostly held a cautious stance as regards the future prospects for the HDG market. The HDG market will likely remain a weakly balanced situation in a short term.
Average 1.0 mm SGCC hot dip galvanized spot prices in China have lost RMB 27/mt ($3.8/mt) compared to October 12, standing at RMB 4,710/mt ($656/mt) ex-warehouse, according to SteelOrbis’ information.
As of October 19, HRC futures prices at the Shanghai Future Exchange are standing at RMB 3,765/mt (524/mt), moving up by RMB 34/mt ($4.7/mt) compared to that recorded on October 12.
$1 = RMB 7.1795
