During the week ending January 14, Chinese domestic hot dip galvanized (HDG) prices have indicated a stable trend, while overall transaction activity in the market has been at decent levels. Average HDG prices in the local Chinese market are presented in the following table.
During the given week, following previous increases in local HDG prices, the upward trend in the market has lost momentum and prices have started to move sideways. In addition, there is expected to be less support for HDG prices from domestic HRC and CRC prices in the coming period. At the same time, iron ore prices have softened, weakening support for HDG prices from the cost side. Against the backdrop of the approach of China’s New Year holiday, traders will likely keep their HDG offer prices stable as demand gradually becomes more sluggish. It is thought that HDG prices in the Chinese domestic market will likely move sideways in the coming week.
| Product name | Spec. | Category | 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 | 2,730 | 414 | 0 |
| Guangzhou | Angang | 3,100 | 470 | 0 | |||
| Boxing | Angang | 3,910 | 593 | 0 | |||
| Average | - | 3,247 | 493 | 0 | |||
| Thin galvanized coils | 0.5 mm x 1,000 mm x C | SGCC | Shanghai | Quantong | 2,900 | 440 | 0 |
| Guangzhou | Ma steel | 3,400 | 516 | 0 | |||
| Boxing | Hengtong | 2,800 | 425 | 0 | |||
| Average | - | 3,033 | 460 | 0 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.59 RMB