During the week ending December 10, prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market in general remained unchanged as compared with the previous week, with the market characterized by low inventories and low demand during the week under review. As of December 10, 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 |
6,683 |
0 |
1,007 |
0 |
PPGI |
0.426 mm x 1,000 mm |
CGCC |
7,283 |
0 |
1,097 |
0 |
At present, CGCC 0.476 mm x 1,000 mm PPGI is sold in the Shanghai, Guangzhou and Boxing markets at RMB 6,600/mt ($994/mt), RMB 7,100/mt ($1,069/mt) and RMB 6,350/mt ($956/mt) respectively. At the same time, CGCC 0.426 mm x 1,000 mm prices stand at RMB 6,700/mt ($1,009/mt), RMB 7,150/mt ($1,077/mt) and RMB 8,000/mt ($1,205/mt) in the above respective markets.
Under the influence of the lackluster demand coming from overseas customers, market offers of PPGI products have remained stable. However, discounts have been given for firm bids on account of the sluggish market situation.
In the Guangzhou market, in a context of moderate market activity, prices have not indicated any significant changes. At present, local traders in this area in general hold less than 300 mt of PPGI materials in hand. Meanwhile, privately-owned PPGI producers are operating at normal capacity levels, but are unsatisfied with their order volumes.
In the Boxing market, some PPGI producers have reported a recovery in order volumes but most are uncomfortable with the rate of flow of materials. During the week in question, 0.3 mm PPGI is offered at RMB 6,500/mt ($978/mt) in the Boxing market, including taxes. However, traders are unwilling to stock materials towards the end of the year.
It is expected that Chinese domestic PPGI prices will not change significantly in the short term.