During the week ending May 23, average prices in the Chinese domestic hot dip galvanized (HDG) market have increased, while transaction activity in the market has been at medium levels. Average HDG prices in the local Chinese market are presented in the following table.
Currently, Chinese HDG producers’ capacity utilization rates are at relatively high levels due to quite good profitability. At the same time, the continuous rising trend of import iron ore prices has been providing support for HDG prices. However, decreases in HDG inventories are now smaller, and this will likely exert a negative impact on HDG prices in the near future. Demand for HDG has slackened in May and this situation is foreseen to continue. It is expected that HDG prices in the Chinese domestic market will move down 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 |
4,950 |
715 |
↑70 |
|
Guangzhou |
Angang |
4,850 |
701 |
0 |
|||
|
Boxing |
Angang |
4,860 |
702 |
↑20 |
|||
|
Average |
- |
4,887 |
706 |
↑30 |
|||
|
Thin galvanized coils |
0.5 mm x 1,000 mm x C |
SGCC |
Shanghai |
Tangsteel |
5,420 |
783 |
↑70 |
|
Guangzhou |
Guofeng |
5,070 |
733 |
0 |
|||
|
Boxing |
Fengming |
4,710 |
681 |
↑20 |
|||
|
Average |
- |
5,067 |
732 |
↑30 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.92 RMB