January galvanized pipe market adjustment

This week, the national galvanized pipe market is weakly consolidated, ranging from RMB 20-120/ton. In East China, as the downstream demand gradually fades, the wait-and-see attitude of the merchants is still strong, and there is almost no willingness to sell goods. In South China, the annual agency agreement in 2019 has not yet been finalized. The main reason is that the traders have a significant loss in the second half of 2018. They are still cautious about the market in 2019. The traders' agreement is still not in a hurry to finalize the order; the local galvanized inventory is still at High, although there has been some easing in the near future, the decline is still less than expected. In North China, due to post-holiday demand, there is still no significant heavy volume to superimpose downstream users to buy more and more, which leads to a clear market atmosphere.


January is the traditional low season of demand. As the winter market deepens, the orders of cars and home appliance companies are declining. Some enterprises have burst their positions, and the downstream demand situation is not optimistic. Secondly, due to the weakening of galvanized pipe prices this week, merchants are expecting the market outlook. Still biased, so the order is cautious, most traders are still waiting to see; in the end, although the focus of the work at the end of the year has shifted to the return of funds, but some merchants still have some pressure on the inventory, so active shipments. Considering comprehensively, it is expected that the galvanized pipe market will be weakly adjusted next week.