During the week ending May 17, the Chinese domestic pre-painted galvanized iron (PPGI) market has been trending sideways. Average PPGI prices in the Chinese market can be viewed in the SteelOrbis price reports section.
Recently, demand has been significantly lower than supply in the domestic PPGI market, with downstream buyers opting to purchase low-priced materials. Market insiders reveal that major domestic steel producers such as Masteel, Baosteel and Yehui Steel have shown an increasing readiness to lower prices in order to attract orders.
In the meantime, Chinese PPGI exports have increased to some extent, with offers at higher levels than domestic sales prices. Exports are expected to continue to indicate a relatively positive performance.
Meanwhile, negative sentiment is one of the factors hindering a recovery of the market. Most traders have chosen to sell off as much inventory as possible in order to relieve the pressure they are under. It is thought that Chinese domestic PPGI prices will trend down in the coming week.