India: Coated flat steel prices hold firm w-o-w, but demand recovery yet to gain traction

• Coated flat steel Prices steady amid muted activity
• Demand revival expected in Sep’25, post festive season

The Indian coated flat steel market remained stable w-o-w as per the latest assessment on 21 August 2025. Market sentiment was largely slow to stable, with limited spot activity observed. Participants noted that a meaningful demand revival is likely to emerge only in September, after the upcoming festive season, as current offtake remains subdued across key consuming sectors.

The latest weekly assessment on 21 August showed galvanised plain (GP) coil (0.8 mm/CTL, 120 gsm, IS277) prices at INR 62,500/tonne (t) ($714/t) exy-Mumbai, with offers ranging between INR 62,000-63,000/t ($708-720/t).

Meanwhile, pre-painted galvanised (PPGI) (0.5 mm/CTL, 90 gsm, IS14246) was assessed at INR 73,900/t ($844/t) exy-Mumbai, with offers hovering between INR 73,500-74,500/t ($840-851/t). Prices are exclusive of 18% GST. (USD 1 = INR 87.5421 ) (INR 1 = USD 0.0114231)

Market updates

Trading activity was stable but largely subdued, with participants describing sentiment as slow to steady. Sources indicated that any significant improvement in demand is expected only after the festive season, as offtake across end-user industries continued to lag.

In the north, a distributor said that the market is performing slightly better than other regions. Some improvement in activity was noted, but overall demand was still limited and not showing strong momentum.

From the west, a distributor observed that the overall situation continued to be slow. Weak buying interest weighed on sentiment, with most market buyers cautious.

In the south, a local distributor said that the market is also sluggish. He pointed out that the presence of auction material in circulation prevented prices from increasing despite steady inquiries. “Auction supplies are creating additional pressure, and this is keeping trade prices from aligning with mill offers,” the distributor said.

Zinc market update

India’s zinc prices remained under pressure this week, failing to offer cost support. Hindustan Zinc Limited (HZL) cut zinc ingot prices by INR 5,500/t ($63/t), effective 21 August.

Scrap and dross prices also weakened. Diecast scrap was assessed at $2,275/t CFR west coast India, down $5/t w-o-w, while zinc dross fell INR 1,500/t to INR 224,500/t ex-Delhi.

In the zinc oxide segment, offers slipped by INR 2,000/t to INR 217,000/t ex-Delhi, as demand from ceramics, rubber and fertiliser sectors stayed muted.

Outlook

Coated flat steel demand is expected to stay weak until the festive season, with cautious trading prevailing. Some near-term support may come from the automotive and pre-engineered building (PEB) sectors, but a broader recovery is likely post-monsoon, as auto sales and infrastructure-led PEB activity pick up.