In the week ending July 30 the Chinese pre-painted galvanized iron (PPGI) market has followed an upward price trend, with stronger increases seen for thick specifications than for thin specifications. As of July 30, average PPGI prices in the main Chinese cities are as follows:
Product name | Specification | Category | Average price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
PPGI | 0.476 mm x 1,000 mm | CGCC | 6,273 | +100 | 927 | +15 |
PPGI | 0.426 mm x 1,000 mm | CGCC | 6,867 | +50 | 1,014 | +7 |
At present, CGCC 0.476 mm x 1,000 mm PPGI is sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,200/mt ($916/mt), RMB 6,650/mt ($982/mt) and RMB 5,970/mt ($882/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm prices stand at RMB 6,350/mt ($938/mt), RMB 6,700/mt ($990/mt) and RMB 7,550/mt ($1,115/mt) in the above respective markets.
Backed up by the solid demand coming mainly from downstream customers, PPGI prices in the Chinese market have been increasing lately. In recent weeks, the domestic steel futures market has also played an important role in determining the pricing trend in the Chinese spot steel market.
On the supply side, as some mills have recently stopped accepting orders in order to wait for further prices increases, some specifications have been in short supply during the past week.
Meanwhile, more and more traders have started to adopt a waiting strategy given the reduced momentum for the upward movement of prices.