During the week ending March 22, prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have witnessed a decreasing trend for thick specifications, while prices of thin specifications have been relatively stable. Average PPGI prices in the Chinese market can be viewed in the SteelOrbis price reports section.
Although the weather is becoming warmer, domestic demand in China for PPGI products has not seen significant improvement, while transaction activity has remained quiet in the market. Traders are mostly maintaining a cautious approach to building up their inventories due to the ongoing weakness of demand. Since it is close to the end of month, some traders are under pressure to sell materials in order to bring in funds and pay off debts, while others are more relaxed as they did not order too many materials for March delivery.
Most market participants are optimistic on the prospects for the domestic PPGI market in the second quarter, as they consider that there is limited room for further declines in the market. It is thought that PPGI prices in the Chinese domestic market will move sideways in the coming week.