Local Chinese PPGI market falls further amid weakened downstream demand

During the week ending June 7, pre-painted galvanized iron (PPGI) prices have remained on a downtrend in the Chinese domestic market. Average PPGI prices in the Chinese market can be viewed in the SteelOrbis price reports section. 
 
Entering the summer season, PPGI demand from downstream industries in China has weakened significantly, with few bookings observed. Due to their high inventory levels, some domestic PPGI producers have been providing large discounts. This has further accelerated the declining movement of PPGI market prices. Meanwhile, traders have also started to focus on destocking and are willing to negotiate with customers.
 
Given the imbalance between supply and demand, it appears difficult for Chinese domestic PPGI prices to register a rebound in the coming period.