During the week ending August 22, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved sideways compared to the previous week, 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 $610-630/mt, moving down by $10/mt on average compared to that recorded on August 15.
| Specification (mm) | Category | Average price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) |
Weekly change ($/mt) |
| 0.476 x 1,000 | CGCC | 4,917 | - | 689 | - |
| 0.426 x 1,000 | CGCC | 5,093 | - | 714 | - |
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 remained stable amid the slack demand from downstream users. Inventory of PPGI has increased, signaling cautious sentiments among market players. At the same time, HRC futures prices have moved on a downtrend, exerting a negative impact on the PPGI market. It is thought that PPGI prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
As of August 22, HRC futures at Shanghai Futures Exchange are standing at RMB 3,361/mt ($482/mt), decreasing by RMB 78/mt ($11/mt) or 2.3 percent since August 15, while down 0.86 percent compared to the previous trading day, August 21.
$1 = RMB 7.1321