During the week ending September 13, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have seen a decreasing 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 at $605-630/mt, moving sideways on average compared to September 6.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
5,017 |
-17 |
707 |
-2 |
0.426 x 1,000 |
CGCC |
5,177 |
-17 |
730 |
-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 relatively high inventory levels, while producers’ production capacity utilization rates have increased slightly. Major Chinese steelmakers Baosteel has raised its local base price for pre-painted galvanized iron (PPGI) by RMB 30/mt ($4.2/mt) for delivery in October, bolstering prices to a certain degree. Moreover, demand for PPGI is expected to improve in the short term. It is thought that PPGI prices in the Chinese domestic market may rebound in the coming week.
As of September 13, HRC futures at Shanghai Futures Exchange are standing at RMB 3,245/mt ($457/mt), increasing by RMB 149/mt ($21/mt) or 4.8 percent since September 6, while up 1.06 percent compared to the previous trading day, September 12.
$1 = RMB 7.103
