During the week ending August 6, the Chinese pre-painted galvanized iron (PPGI) market has shown some weakness on the demand side, with the minor upticks seen in prices being mainly stimulated by increases in the upstream market. The overall market is characterized by a negative atmosphere. As of August 6, 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 |
6,323 |
+50 |
934 |
+7 |
PPGI |
0.426 mm x 1,000 mm |
CGCC |
6,890 |
+23 |
1,018 |
+3 |
At present, CGCC 0.476 mm x 1,000 mm PPGI is sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,250/mt ($923/mt), RMB 6,650/mt ($982/mt) and RMB 6,070/mt ($897/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm prices stand at RMB 6,400/mt ($945/mt), RMB 6,700/mt ($990/mt) and RMB 7,550/mt ($1,118/mt) in the above respective markets.
In the context of the sluggishness in the downstream markets combined with the hot weather in August, domestic demand for pre-painted galvanized iron has hardly improved. Thus, the increases seen in PPGI prices are lower than those seen for other steel products.
Although more and more arrivals are observed in the market, inventory levels have not yet exerted any great pressure as market inventory was previously at low levels.