Ex-China hot dip galvanized (HDG) offer prices have moved down over the past week. Offers are at $950-960/mt FOB for late April shipment this week, declining by $15/mt compared to February 17 on average. The tradable level from mills has also dropped, to $940/mt FOB, but lower prices from traders have also been heard.
A deal for 15,000 mt of ex-China HDG was traded to Thailand at $940/mt CFR last week.
“The turbulent situation in the international market has negatively affected market players’ sentiments,” an international trader said.
During the given week, HDG prices in the Chinese domestic market have moved sideways amid declining HRC futures prices and the prevailing bearish sentiments among market players. At the same time, demand for HDG has remained slack, resulting in market players’ unwillingness to conclude purchases, though they expect better demand in the near future.
Average 1.0 mm SGCC hot dip galvanized spot prices in China have remained stable compared to February 17, standing at RMB 5,833/mt ($921.7/mt) ex-warehouse, according to SteelOrbis’ information.
As of February 24, HRC futures prices at the Shanghai Future Exchange are standing at RMB 4,804/mt (759/mt), decreasing by RMB 19/mt ($3.0/mt) or 0.39 percent since February 17.
$1 = RMB 6.328
