Spot market prices for US domestic hot dipped galvanized (HDG) coil have risen once again, sources note, adding that buyers across the country are starting to question the long-term viability of current price points.
As of today, spot market prices for base-price HDG coil are trending at an average of $67.50-$68.50 cwt. ($1,488-$1,510/mt or $1,350-$1,370/nt), FOB mill, against $64-$65 cwt. ($1,411-$1,433/mt or $1,280-$1,300/nt), FOB mill, a week ago. Similar to what’s being seen in other flat rolled steel markets, transactions above this range have been reported for small-tonnage orders.
Prices are up by approximately 58% from early-December 2022.
Sources close to SteelOrbis say they’re vastly skeptical of how long HDG coil can remain at its current level, noting that demand is “good but it’s not through the roof.” Most believe the market is “at or near the top of the bell curve,” which has many saying they’re being much more conservative with their order placement out of concern that prices will start to trend down in Q2.
