In July this year, sales of South Korean domestic production pre-painted galvanized iron (PPGI) sheets increased by 2.1 percent year on year to 179,100 mt.
A recent survey by Korea Metal Journal (KMJ) of the nine major local producers of PPGI sheets showed that in July their sales in the domestic market slid 0.7 percent to 100,400 mt, while their overseas sales rose by 8.6 percent to 82,500 mt, both year on year.
The figures indicate that local PPGI producers have been experiencing difficulties in their sales at home due to weak demand and the large inflow of Chinese products, while they have been exerting efforts to boost their overseas sales in a bid to overcome the slump suffered in the domestic market. The producers have been able to secure a certain degree of profitability in their exports due to a favorable exchange rate between the South Korean currency and the US dollar.
Of the main domestic producers of PPGI sheets, Union Steel sold a total of 56,000 mt in July, down 2.7 percent year on year, consisting of 23,300 mt in the domestic market and 27,300 mt in the overseas market. Dongbu Steel saw its July sales drop 4.7 percent year on year, with 20,600 mt sold at home and 20,300 mt sold abroad. Meanwhile, Hyundai Hysco saw a steep drop of 23.9 percent in its July PPGI sales, while POSCO C&C saw a surge of 10.9 percent, both year on year.