With prices having soared for several weeks in the Chinese domestic PPGI market, some mills and traders started to sell off their stocks last week. As of April 9, average PPGI prices in China's main cities were 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 | 6,783 | +57 | 995 | +8 |
PPGI | 0.426 mm x 1,000 mm | CGCC | 7,267 | 1,065 |
At the end of last week, CGCC 0.476 mm x 1,000 mm PPGI was sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,600/mt ($968/mt), RMB 7,200/mt ($1,056/mt) and RMB 6,550/mt ($960/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm prices stood respectively at RMB 6,650/mt ($975/mt), RMB 7,300/mt ($1,070/mt) and RMB 7,850/mt ($1,151/mt) in these markets.
The considerable increases in local HDG prices have resulted in cost-driven rises seen in the domestic PPGI market. Meanwhile, as the weather gets warmer, the gradual recovery observed in the construction sector has brought some momentum to the PPGI market. On the other hand, the improvement on the export side has also acted as a tonic for domestic PPGI sellers. After their recent purchasing activities, end-users now have large amounts of stock in hand, and some time will be required to digest these.
Many construction projects are expected to be started in China by the end of April, when demand is likely to be fully released. As a result, local players are looking with optimism towards the future. It is expected that in the near future China's PPGI market will climb upwards with fluctuations.