During the week ending June 9, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have decreased, while transaction activity in the domestic market has been at low levels. Average PPGI prices in the local Chinese market are presented in the following table.
During the given week, PPGI suppliers in the domestic market have been unwilling to conclude sales, resulting in slack activity, while the declines in PPGI spot prices have weakened sentiment in the market. Decreases in semi-finished steel prices have exerted a negative impact on PPGI prices from the cost side, while the higher capacity utilization rates of PPGI producers have increased the pressure on the market from the supply side. Also, the approach of the rainy season and hotter weather conditions will have a negative influence on demand. The good news is that consumption of inventory has somewhat better compared to the previous period. It is thought that PPGI prices in the Chinese domestic market will edge down slightly in the coming week.
Product name | Spec. | Quality | City | Steel plant/origin | Price (RMB/mt) | Price ($/mt) | Weekly change (RMB/mt) |
Thick color coated coils | 0.476 mm x 1,000 x C | CGCC | Shanghai | NewDaZhong | 6,600 | 971 | 0 |
Guangzhou | Huamei | 5,850 | 860 | ↓200 | |||
Boxing | Guangzhou | 5,050 | 743 | 0 | |||
Average | - | 5,833 | 858 | ↓67 | |||
Thin color coated coils | 0.426 mm x 1,000 x C | CGCC | Shanghai | NewDaZhong | 6,800 | 1,000 | 0 |
Guangzhou | Huamei | 5,950 | 875 | ↓200 | |||
Average | - | 6,375 | 938 | ↓100 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.80