Sources close to SteelOrbis have confirmed that spot market prices for US domestic HDG and Galvalume coil have softened since our last report 10 days ago. Current, base-pricing for both products is now being heard at roughly $51-$52 cwt. ($1,124-$1,146/mt or $1,020-$1,040/nt), FOB mill, against $54.50-$56.50 cwt. ($1,202-$1,245/mt or $1,090-$1,130/nt), FOB mill, on September 23.
Lead times have also shortened by 2 weeks, sources said, adding that the new approximate lead time for both products is now at “about 6 weeks.”
The situation being seen within the HDG and Galalume markets are similar to the pricing and lead time downtrends seen for other flat rolled steel products, including hot and cold rolled coil.
“It’s all more of the same,” a source said. “People are afraid to stock up because they’re worried about inventory devaluation. Lead times are soft and prices are wobbly. There just isn’t a whole lot of confidence in the market right now, and I think that people will continue to be cautious through the end of the year.”