During the week ending July 15, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved on a downward trend, 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 $815-830/mt, moving down by $17.5/mt week on week.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
6,616 |
-300 |
980 |
-52 |
0.426 x 1,000 |
CGCC |
6,713 |
-317 |
994 |
-55 |
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 sharply amid the decreasing HRC futures prices. At the same time, the declining iron ore prices weakened the support to PPGI prices. High temperature will continue to exert a negative impact on the demand for PPGI. It is thought that PPGI prices in the Chinese domestic market will edge down further in the coming week.
As of July 15, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,576/mt ($530/mt), down RMB 630/mt ($93.3/mt) or 15 percent from RMB 4,206/mt on July 8.
$1 = RMB 6.7503
