During the week ending September 11, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged up, 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.
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
6,113 |
+67 |
894 |
+10 |
|
0.426 x 1,000 |
CGCC |
6,233 |
+67 |
911 |
+9 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given week, Chinese major steelmaker Baosteel has raised its ex-w prices for flat steel, bolstering market players’ sentiments towards prospect for the future PPGI market. However, downstream users have been unwilling to accept the rises, which slowed down the demand for PPGI. At the same time, inventory of PPGI has been at relatively low level, which will exert a positive impact on its prices. It is expected that PPGI prices in the Chinese domestic market will move sideways in the coming week.
As of September 11, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,779/mt ($552.5/mt), down RMB 131/mt ($19/mt) or 3.4 percent from RMB 3,910/mt on September 4.
$1 = RMB 6.8389