Ferrous Metals Prices Plummeted: How Did Galvanized Sheet Exports Perform in July? [SMM Analysis]

According to the latest customs data, galvanized sheet exports in July 2024 reached 1.0597 million mt, up 8.07% MoM and 22.54% compared to 864,800 mt in July 2023. From January to July 2024, cumulative galvanized sheet exports totaled 7.2284 million mt, up 15.86% YoY from 6.2391 million mt. Overall, galvanized sheet exports remained high in July.

By country, Thailand imported 168,400 mt of Chinese galvanized sheets in July, accounting for 15.89% of total China's exports, ranking first. The Philippines imported 112,800 mt, accounting for 10.65%, ranking second. South Korea imported 83,200 mt, accounting for 7.86%, ranking third. The top three countries for galvanized sheet exports in July remained unchanged. The chart below shows China's galvanized sheet exports in July by country.

Galvanized sheet exports in July rebounded from June. SMM believes the main reasons are as follows:

1. Ferrous metals prices continued to decline, enhancing the relative price advantage of domestic galvanized sheets, which boosted exports.

2. Specifically, demand for galvanized sheets in Southeast Asian countries remained strong, with Thailand showing a significant increase in imports from China in July, contributing to the main growth.

Entering August, ferrous metals prices continued to fall, but the issue of shipping vessels persisted, leading to cargo backlogs at domestic ports. Some companies had to delay their galvanized sheet exports by half a month to a month. Coupled with ongoing anti-dumping investigations, galvanized sheet exports in August may struggle to increase further.