Although significant decreases have been seen in China's overall steel market in the past week, the domestic pre-painted galvanized iron (PPGI) market has maintained its rising trend. As of September 17, the average sales prices of PPGI in the main Chinese regions 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 |
6,670 |
+33 |
994 |
+5 |
PPGI |
0.426 mm x 1,000 mm |
CGCC |
7,190 |
+50 |
1,072 |
+7 |
At present, CGCC 0.476 mm x 1,000 mm PPGI is sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,360/mt ($948/mt), RMB 7,050/mt ($1,051/mt) and RMB 6,600/mt ($984/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm prices stand at RMB 6,500/mt ($969/mt), RMB 7,100/mt ($1,058/mt) and RMB 7,970/mt ($1,188/mt) in the above respective markets.
In recent days, sales activities in China's pre-painted galvanized market have been strong while market inventories are still at low levels. Most traders are confident about the prospects for the market in the coming period as there are few new arrivals in the market. During the week in question, Wuhan Iron and Steel Co., Ltd (WISCO) released its new price policy for October, increasing its ex-works PPGI prices by up to RMB 400/mt ($59/mt).
With the implementation of the power rationing measures in China, the situation of lack of equilibrium between supply and demand in the domestic steel market has been relieved to some extent. It is expected that PPGI prices in China will continue to trend up in the coming week.