During the past week, prices in the Chinese pre-painted galvanized iron (PPGI) market have basically remained unchanged from the previous week. As of April 29, the average sales prices of PPGI in the main Chinese cities are as follows:
Product name |
Specification |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
PPGI |
0.476 mm x 1,000 mm |
CGCC |
6,690 |
0 |
1,026 |
0 |
PPGI |
0.426 mm x 1,000 mm |
CGCC |
7,333 |
0 |
1,125 |
0 |
At present, CGCC 0.476 mm x 1,000 mm PPGI is sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,650/mt ($1,020/mt), RMB 7,000/mt ($1,074/mt) and RMB 6,420/mt ($985/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm PPGI prices stand at RMB 6,750/mt ($1,035/mt), RMB 7,050/mt ($1,081/mt) and RMB 8,200/mt ($1,258/mt) in the above respective markets. All prices include 17 percent VAT ($1 = RMB 6.52).
After the decline of the previous week, in the past week China's PPGI market started to move on a stable trend. PPGI traders are maintaining a wait-and-see stance towards the market, and, with the Labor Day holiday approaching, transaction activity is still slow.
China's tightened monetary policy and its real estate regulation measures have to a certain extent restricted demand for steel and thereby hindered the upward movement of steel prices in the domestic market. Generally, mixed opinions are heard as regards the future prospects of the domestic PPGI market.
In the short term, China's PPGI market appears to have little room to move either up or down. At present, traders and buyers are both maintaining a wait-and-see attitude. It is thought that traders may try to increase their prices after the Labor Day holiday (April 30-May 2).