During the week ending April 4, average prices in the Chinese domestic hot dip galvanized (HDG) market have moved up, while transaction activity in the market has been at low-to-medium levels. Average HDG prices in the local Chinese market are presented in the following table.
During the given week, iron ore futures prices at Dalian Commodity Exchange (DCE) have moved up significantly, pushing up iron ore prices in the spot market and also exerting a positive impact on other ferrous metal futures prices at Shanghai Futures Exchange (SHFE). Accordingly, HDG prices in the domestic spot market have also increased. However, with the reduction in the VAT rate to 13 percent coming into effect as of April 1, market participants have adopted a wait-and-see stance. It is expected that HDG prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
|
Product name |
Spec. |
Quality |
City |
Steel plant/origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly change (RMB/mt) |
|
Thick galvanized coils |
1.0 mm x 1,250 mm x C |
SGCC |
Shanghai |
Angang |
4,900 |
729 |
↑20 |
|
Guangzhou |
Angang |
4,720 |
702 |
↑70 |
|||
|
Boxing |
Angang |
4,870 |
725 |
↑60 |
|||
|
Average |
- |
4,830 |
719 |
↑50 |
|||
|
Thin galvanized coils |
0.5 mm x 1,000 mm x C |
SGCC |
Shanghai |
Tangsteel |
5,370 |
799 |
↑20 |
|
Guangzhou |
Guofeng |
4,940 |
735 |
↑70 |
|||
|
Boxing |
Fengming |
4,720 |
702 |
↑60 |
|||
|
Average |
- |
5,010 |
746 |
↑50 |
16 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.72 RMB