During the week ending January 17, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged up, 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 $590-615/mt FOB, edging down by $2.5/mt on average compared to that recorded on January 10.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
4,933 |
50 |
686 |
7 |
0.426 x 1,000 |
CGCC |
5,110 |
50 |
711 |
7 |
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 risen slightly amid the increases in HRC futures prices. Some downstream users have started to leave the market ahead of the Chinese New Year (January 28-February 4) holiday, exerting a negative impact on the demand for PPGI. However, the rebound in HRC futures prices has bolstered PPGI prices to a certain degree. It is expected that PPGI prices in the Chinese domestic market will move sideways in the coming week.
As of January 17, HRC futures at Shanghai Futures Exchange are standing at RMB 3,483/mt ($461/mt), increasing by RMB 171/mt ($24.0/mt) or 5.2 percent since January 10, while up 1.52 percent compared to the previous trading day, January 16.
$1 = RMB 7.1889
