During the week ending August 29, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged up compared to the previous week, 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 $600-630/mt, moving down by $5/mt on average compared to August 22.
| Specification (mm) | Category | Average price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) |
Weekly change ($/mt) |
| 0.476 x 1,000 | CGCC | 4,950 | 33 | 697 | 5 |
| 0.426 x 1,000 | CGCC | 5,127 | 33 | 722 | 5 |
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 up amid the decreasing capacity utilization rates at producers. Demand for PPGI is unlikely to improve in the short term, which may result in rising inventories, weakening prices. However, on August 28, five government departments in China issued the Steel Industry Growth Stabilization Work Plan for 2025-2026, stating that China will implement precise regulation of production capacity and output, and this has bolstered market sentiments firmly.
Amid the approach of the military parade in early September, transaction activities for PPGI may be negatively affected early next week, while demand may improve after that, especially as September is regarded as the traditional peak season for the steel industry. It is expected that PPGI prices in the Chinese domestic market will move sideways in the coming week and may rebound later.
As of August 29, HRC futures at Shanghai Futures Exchange are standing at RMB 3,346/mt ($471/mt), decreasing by RMB 15/mt (2.1/mt) or 0.45 percent since August 22, while down 0.21 percent compared to the previous trading day, August 28.
$1 = RMB 7.103