During the week ending November 8, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved down, 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 $610-640/mt FOB, remaining stable on average compared to November 1.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
5,067 |
-26 |
709 |
-4 |
0.426 x 1,000 |
CGCC |
5,227 |
-26 |
732 |
-4 |
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 moved down amid relatively high inventory levels. Meanwhile, the demand from downstream users has been slack and so traders have chosen to sell at lower prices, aiming to ease pressure and bring in cash. Production of PPGI has been at normal levels, signaling that inventory might rise next week. It is thought that PPGI prices in the Chinese domestic market will likely edge down in the coming week.
As of November 8, HRC futures at Shanghai Futures Exchange are standing at RMB 3,541/mt ($496/mt), decreasing by RMB 18/mt ($2.5/mt) or 0.5 percent since November 1, while down 0.65 percent compared to the previous trading day, November 7.
$1 = RMB 7.1433