During the week ending July 22, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have continued their downtrend, while transaction activity in the domestic market has been at low-to-medium levels.
Offer prices of ex-China PPGI have been heard between $785-795/mt, moving down by $32.5/mt week on week.
Average PPGI prices in the local Chinese market are presented in the following table:
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
6,340 |
-276 |
939 |
-41 |
|
0.426 x 1,000 |
CGCC |
6,426 |
-287 |
952 |
-42 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given week, PPGI prices in the Chinese domestic market have moved down sharply amid prevailing cautious sentiments among market players. Meanwhile, following the decreasing trend of other flat steel prices, no sign of improvement in demand has been observed, which will continue to exert a negative impact on PPGI prices. It is thought that PPGI prices in the Chinese domestic market will edge down further in the coming week.
As of July 22, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,821/mt ($566/mt), up RMB 245/mt ($36.3/mt) or 6.85 percent from RMB 3,576/mt on July 15.
$1 = RMB 6.7522