During the week ending December 6, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have decreased, while transaction activity in the domestic market has been at low-to-medium levels. Average PPGI prices in the local Chinese market are presented in the following table.
Offer prices of ex-China PPGI have been heard between $600-635/mt, moving sideways on average compared to November 29.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
4,950 |
-17 |
689 |
-2 |
0.426 x 1,000 |
CGCC |
5,110 |
-17 |
711 |
-2 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
During the given week, PPGI prices in the Chinese domestic market have declined amid decreasing raw material prices and declines in HRC futures prices. Meanwhile, demand for PPGI has slackened, exerting a negative impact on prices. Sellers have been unwilling to sell at much lower prices as their inventories are still at acceptable levels. It is expected that PPGI prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
As of December 6, HRC futures at Shanghai Futures Exchange are standing at RMB 3,454/mt ($480/mt), decreasing by RMB 35/mt ($4.9/mt) or 1.0 percent since November 29, while down 0.97 percent compared to the previous trading day, December 5.
$1 = RMB 7.1848