During the week ending January 3, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have indicated a declining trend, while transaction activity in the domestic market has been at low-to-medium levels. Average PPGI prices in the local Chinese market are presented in the following table.
Offer prices of ex-China PPGI have been heard between $595-630/mt FOB, remaining stable on average compared to December 27.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
4,900 |
-17 |
682 |
-2 |
0.426 x 1,000 |
CGCC |
5,077 |
-17 |
706 |
-2 |
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 edged down amid declining HRC futures prices. Bearish sentiments have prevailed among market players due to the slack demand from downstream users. Market players expect some improvements ahead of the Chinese New Year holiday (January 28-February 4) as downstream users may build up some stocks. It is thought that PPGI prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of January 3, HRC futures at Shanghai Futures Exchange are standing at RMB 3,377/mt ($470/mt), decreasing by RMB 13/mt ($1.8/mt) or 0.38 percent since December 27, while down 1.32 percent compared to the previous trading day, January 2.
$1 = RMB 7.1878