During the week ending January 24, 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 at $600-635/mt FOB, moving up by $15/mt on average compared to January 17.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
4,967 |
33 |
691 |
5 |
0.426 x 1,000 |
CGCC |
5,143 |
33 |
715 |
5 |
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 up amid support from increasing iron ore prices. However, transaction activities have become quieter amid the approaching Chinese New Year holiday (January 28-February 4). Inventory of PPGI has been at relatively low levels, bolstering prices firmly. Market participants think PPGI prices in the Chinese domestic market will likely see a rebounding trend after the long holiday.
As of January 24, HRC futures at Shanghai Futures Exchange are standing at RMB 3,473/mt ($484/mt), decreasing by RMB 10/mt (1.4/mt) or 0.3 percent since January 17, while up 0.35 percent compared to the previous trading day, January 23.
$1 = RMB 7.1705