During the week ending January 10, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved on an upward 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.
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
5,780 |
+50 |
833 |
+11 |
|
0.426 x 1,000 |
CGCC |
5,900 |
+50 |
851 |
+11 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given week, demand for PPGI has been slack due to the approach of the Chinese New Year holiday. However, local steelmakers have been unwilling to cut their sales prices. Liaoning Province-based Anshan Iron and Steel has raised its ex-works prices for PPGI by RMB 50/mt ($7.2/mt) for February delivery. PPGI inventories in China have risen slightly and will continue to increase ahead of the holiday. It is expected that PPGI prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
As of January 10, HRC futures prices at Shanghai Futures Exchange (SHFE) are standing at RMB 3,600/mt ($519.1/mt), up RMB 40/mt ($5.8/mt) or 1.12 percent from RMB 3,560/mt on January 3.
$1 = RMB 6.935