During the week ending October 13, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged down, though 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 $660-700/mt, moving down by $22.5/mt compared to September 22.
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
5,783 |
-17 |
806 |
-2 |
|
0.426 x 1,000 |
CGCC |
5,843 |
-17 |
814 |
-2 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given period, PPGI prices have seen slight declines as demand has been slack. Meanwhile, market players are cautious as regards the future prospects for the PPGI market. Inventory of PPGI has been at relatively low levels, bolstering prices to a certain degree. Import iron ore prices have started to move up again, providing some support for PPGI prices from the cost side. It is expected that PPGI prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of October 13, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,727/mt ($519/mt), down by RMB 136/mt ($19/mt) or 3.5 percent from RMB 3,863/mt on September 22.
$1 = RMB 7.1775