The Chinese Galvanized Plain Sheet market is poised to reverse its bearish trajectory in the coming November and December 2025, after experiencing subdued conditions through October. The market had been burdened with stockpiling, export disruption due to new tax policies, and weakness in the construction sector, but predictions suggest that it will rise by 3% in November and December, after falling about 1.32% during the third and fourth weeks of this month.
The Chinese Galvanized Plain Sheet market is undergoing a challenging time for now as October 2025 is coming to an end. Pressure on prices continued throughout the month, with market players noting that what appeared as price stability is slowly turning into month-end price weakening. Analysts say the bearish sentiment continues, extended to the twelfth straight week. The prices of Galvanized Plain Sheet were stable with no obvious fluctuation in the first two weeks.
Price stability was short-lived. By the third week, a decline of approximately 0.32% emerged. The trend accelerated in the fourth week, with Galvanized Plain Sheet prices retreating by about 1%, reflecting soft market conditions and the continuation of downward pressure that characterized the broader period.
Galvanized Plain Sheet production recorded slight growth at the beginning of October. Capacity utilization rate increased by 0.3% to 64% and the weekly production increased by 4,100 tons to 907,200 tons. However, this production resilience coincided with significant inventory buildup, as social stocks increased by 32,800 tons week-on-week to reach 1.4 million tons. The implementation of new tax policies disrupted export flows, with pre-cancelled overseas shipments contributing to the mounting domestic supply overhang and limiting pricing power.
Demand for Galvanized Plain Sheet among the major end users was rather mixed. Automotive sector defied expectations in September with the production witnessing a deepening growth on a year-on-year basis and new energy vehicle deliveries making up a significant portion of total sales. This strength in auto production helped continue to support Galvanized Plain Sheet demand for vehicle body applications and parts, somewhat offsetting weakness in the rest of the market.
Construction activity was a notable weak spot for Galvanized Plain Sheet usage, particularly in structural applications and roofing materials. Real estate investment declined substantially on a year-on-year basis through September, with new construction starts plummeting and property market contraction persisting. This segment's underperformance was sufficient to amplify the overall market malaise related to inventory oversupply and subdued purchasing activity for Galvanized Plain Sheet.
Looking toward November and December, market analysts estimate that Galvanized Plain Sheet prices will begin to recover, with projected increases of approximately 1.8% in November and 1.1% in December. With year-end approaching, they anticipate seasonal restocking activity in the automotive sector, particularly ahead of production ramps and sustained new energy vehicle demand growth.
In addition, leading Galvanized Plain Sheet mills have declared price increases for November shipments that should set the pricing floors, and expected gains in export volumes after shrinking in October due to policy constraints might relieve domestic inventory pressures and further support the positive price expectations through the year-end.
