SMU Hot Rolled vs Galvanized Price Spread Analysis

The relationship between hot rolled and galvanized steel prices has fluctuated sharply over the last eight months, with galvanized selling anywhere between a $195-545 per ton premium over hot rolled in that time. The premium reached a record high in February, but then quickly dialed back in March as prices shot up in response to the war in Ukraine. Since early April, the premium has gradually declined each week.

SMU’s hot rolled coil price averaged $1,350 per ton ($67.50 per cwt) last week and has declined each of the past four weeks. Recall our index had reached a 14-month low of $1,000 per ton in the first week of March, following a record-high $1,955 per ton in September 2021. Our latest galvanized price index averaged $1,725 per ton ($86.25 per cwt) last week and has also decreased for the last four weeks. Galvanized prices peaked at $2,185 per ton last September and fell to a 12-month low of $1,420 in early March.