US import Galvalume prices continue steady decline

Import offer prices to the US for Galvalume coil products from multiple sources have come down again in the last week, and further declines are anticipated. Although futures prices for the US are coming down slowly across the board, the drops in the Galvalume market have been the most substantial in the last couple weeks. After coming down by about $1.00 cwt. ($22/mt or $20/nt) last week, Mexican and Taiwanese prices have fallen by another $0.50 cwt. ($11/mt or $10/nt). Mexican sales prices in the US are now $41.50-$42.50 cwt. ($915-$937/mt or $830-$850/nt) DDP loaded truck delivered into Houston and are attracting the most amount of US-buyer attention as offshore offers are too risky for most when US domestic spot prices are on the decline. But those looking to book futures are turning mostly to Taiwan, whose prices are now in the range of $42.50-$43.50 cwt. ($937-$959/mt or $850-$870/nt) DDP loaded truck in US Gulf ports. Korean prices have also come down over the past week, but there are few takers.

US import hot dipped galvanized (HDG) coil offers from India and China are also moving lower, but at a slower rate following significant declines in late April and early May. Both Indian and Chinese offers for HDG 0.012"x40.875" G30 and 0.019" x 48" G90 are steady from last week, although the mills are ready and willing to take orders on the lower end of the range, according to traders. That room for negotiation and a continued soft market in the US is expected to force those offers lower by at least another $0.50 cwt. in the next couple weeks.

 *DDP loaded truck in US Gulf ports
**DDP loaded truck delivered into Houston