Weakness spreads through US domestic HDG market

With buying activity still sluggish, US domestic hot dipped galvanized (HDG) and Galvalume spot prices have been slowly easing lower. While the official spot price ranges for HDG and Galvalume base products and corresponding coating extras have stayed within a similar range as last week, activity at the high end of the below ranges is dissipating quickly, and prices are poised to drop by next week. SteelOrbis has already learned of some deals below the HDG 0.012"x40.875" G30 spot price range of $48.00-$50.00 cwt. ($1,058-$1,102/mt or $960-$1,000/nt) ex-Midwest mill.

There is also mounting downward pressure on domestic Galvalume 0.019x41.5625 Gr80/AZ55 spot prices of $48.00-$50.00 cwt. ex-mill. Sources tell SteelOrbis there have been aggressive deals available from the few producers of the product, with an increasing amount of activity below the general spot price range. Additionally, Galvalume inventories are especially high at the moment, according to buyer sources, partially due to arriving imports. Arriving coated steel imports surged in April, and the volume of Taiwanese, Chinese and Mexican Galvalume registered a noticeable increase from previous months.