During the week ending August 17, pre-painted galvanized iron (PPGI) prices in the Chinese domestic market moved down again, following the short-lived sideways trend seen in the previous week. Average prices of PPGI products in the local Chinese market can be viewed in the SteelOrbis price reports section.
With the announcements of new price policies for September shipment by major domestic steel producers such as Baosteel, WISCO and Shougang, the average price decrease for PPGI products was in the range of RMB 80-130/mt ($12-20/mt). At present, traders are still worrying about the future market as the gap between supply and demand is still wide.
In the past week, semi-finished prices in the Chinese market have also declined, directly impacting confidence in the overall finished steel market. Amid weak demand from downstream industries, PPGI traders are currently under strong pressure. Most of them have been concluding deals at different prices with different customers.
It is expected that the Chinese PPGI market will not indicate any significant recovery in the short term.