During the week ending December 24, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have declined, while transaction activity has not improved, and demand outlook has even worsened. 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 |
6,960 |
-66 |
1093 |
-11 |
|
0.426 x 1,000 |
CGCC |
7,076 |
-66 |
1111 |
-11 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
Offer prices of ex-China PPGI have been heard between $920-960/mt FOB, remaining stable week on week.
During the given week, PPGI prices have seen slight declines amid the worsening sentiments, the fluctuating trend in HRC futures prices and the prevailing cautious sentiments towards the prospect for the future market. Extremely cold weather hit China since December 24, which will negatively affect the demand for PPGI and weaken the support to prices. It is expected that PPGI prices in the Chinese domestic market will likely edge down in the coming week.
As of December 24, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 4,616/mt ($725/mt), down RMB 64/mt ($10.1/mt) or 1.37 percent from RMB 4,680/mt on December 17.
$1 = RMB 6.3692