Domestic prices for hot-dipped galvanized (HDG) coil in the EU are expected to increase faster in 2018 than those for other flat steel products, according to market sources.
The outlook is based on a combination of positive effects from trade defense measures, growing demand among HDG-consuming industries and increasing zinc costs.Due to favorable market conditions, the price spread between cold-rolled coil (CRC) and HDG base prices widened in 2017. The annual average spread between domestic HDG and CRC base prices in Northern Europe was ?,?42.31 ($51.77) per tonne in the full year of 2017, compared with ?,?4.48 per tonne in 2016.In Southern Europe, the average spread in 2017 was ?,?29.57 per tonne, while in 2016 prices for the two products were roughly equal.Domestic base prices for HDG do not include any costs for coating, thickness or other extras.Metal Bulletin's weekly price assessment for domestic HDG in Southern Europe was ?,?610-640 ($746-783) per tonne ex-works on Thursday January 17, while the assessment for domestic HDG in Northern Europe was unchanged over the week at ?,?650-680 per tonne ex-works."Demand is...