During the week ending August 11, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged up slightly, though transaction activity in the domestic market has been at low-to-medium levels.
Offer prices of ex-China PPGI have been heard between $710-720/mt, moving down by $40/mt compared to last week.
Average PPGI prices in the local Chinese market are presented in the following table:
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
5,757 |
+10 |
804 |
+1 |
|
0.426 x 1,000 |
CGCC |
5,817 |
+10 |
812 |
+1 |
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 seen slight rises, while demand has been slack. Major Chinese steelmaker Baosteel announced a hike in its PPGI prices for delivery in September by RMB 150/mt ($21/mt), bolstering market sentiments. Though it is still the traditional offseason, market players expect better demand since late August. It is thought that PPGI prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of August 11, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,937/mt ($550/mt), down RMB 53/mt ($7.4/mt) or 1.3 percent from RMB 3,990/mt on August 4.
$1 = RMB 7.1587