Just like the prices of other flat steel products in Iran, hot dip galvanized prices in the country have been soaring in recent days in line with the rising trend in the global markets as well due to the increased prices of Iran's main flats producer Mobarakeh Steel in the last few weeks. Mobarakeh has so far not sold any HDG in the local market in the current week, which may be a sign of its intention to hike its prices in the near future. The most recent sales of HDG by Mobarakeh took place last week, at about $788/mt ex-works with a long delivery period of 105 days.
0.50-1.00 mm HDG has lately been booked at $920-1,030/mt ex-stock Tehran via local traders, compared to a price range of $900-990/mt in two weeks ago. Most local Iranian traders are expecting further price increases in the coming weeks as domestic market demand will increase after Ramadan, while there is also a possibility of further price increases from foreign suppliers (especially from CIS suppliers) in the coming days.
According to Iranian customs data, Iran imported about 55,000 mt of hot dip galvanized in the first five months of the current Iranian year (started March 21), compared to about 80,000 mt in the corresponding period of the last Iranian year, representing a reduction of 46 percent year on year. The fall in Iran's HDG import volume in the first five months of the current Iranian year has resulted in lower local HDG inventories which may also help reinforce HDG prices in the local Iranian market in the coming weeks.