Chinese export offers of hot-dipped galvanized coil have
dropped by $40/MT from a month ago due to a weak local market and lower
export prices by other Asian producers.
Prevailing offers are at $780-810/MT FOB, down from $820-850 FOB seen in early
September.
“The evident decrease in domestic sales prices and the price cut
by Asian counterparts have led to lower Chinese HDG offers,” a trader
in Shanghai said.
In the Shanghai market, 1.0mm commercial-grade hot-dipped galvanized coil
is trading at 5,600-5,630 yuan ($883-888) per tonne, down from 5,800-5,840
yuan, about 200 yuan lower than a month ago.
In Taiwan, a major steel mill has slashed its base HDG export offers to
$760-770 per tonne fob, $40-50 lower than four weeks ago, an importer in
southern China told MB.
Few in the market are willing to book material, however, as many expect
prices to slide further in coming weeks. No transactions have yet been heard
and prices may continue to fall into December, traders said.
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