During the week ending June 16, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved sideways, though transaction activity in the domestic market has been at low-to-medium levels.
Offer prices of ex-China PPGI have been heard between $730/mt, remaining stable compared to last week
Average PPGI prices in the local Chinese market are presented in the following table:
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
5,707 |
- |
800 |
-2 |
|
0.426 x 1,000 |
CGCC |
5,767 |
- |
809 |
-2 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given week, average PPGI prices in the Chinese domestic market have remained stable amid the slack demand from downstream users, while continuously rising HRC prices have bolstered PPGI prices. Currently, capacity utilization rates on PPGI producers’ side will continue to edge up, which may exert a negative impact on prices in the future. Cautious sentiments still prevailed among traders. It is thought that PPGI prices in the Chinese domestic market may rise slightly amid the increases in HRC prices.
As of June 16, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,899/mt ($547mt), up RMB 76/mt ($10.7/mt) or 2.0 percent from RMB 3,823/mt on June 9.
$1 = RMB 7.1289