During the week ending June 7, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have indicated declines, 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 between $665-685/mt, remaining stable compared to that recorded on May 31.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
5,557 |
-17 |
781 |
-2 |
0.426 x 1,000 |
CGCC |
5,717 |
-17 |
804 |
-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 indicated slight declines, while prices of state-owned producers’ products were different from those of private producers. The previous initial production cut by state-owned PPGI producers bolstered their prices, while slack demand negatively affected private PPGI producers’ prices. Demand is unlikely to improve significantly in the near term as the Dragon Boat Festival (June 8-10) is about to begin. It is expected that PPGI prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of June 7, HRC futures at Shanghai Futures Exchange are standing at RMB 3,813/mt ($537/mt), decreasing by RMB 20/mt ($2.8/mt) or 0.5 percent since May 31, while up 0.26 percent compared to the previous trading day, June 6.
$1 = RMB 7.1106
