During the week ending May 31, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have edged down, 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 $665-685/mt, moving sideways compared to May 24.
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
0.476 x 1,000 |
CGCC |
5,573 |
-10 |
784 |
-1 |
0.426 x 1,000 |
CGCC |
5,733 |
-10 |
806 |
-1 |
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 decreased amid declining HRC futures prices. Sellers stated that their selling activities have not been very good in the given period amid the slack demand from downstream users. Cautious sentiments have prevailed among market players, though two major first-tier cities, Shenzhen and Shanghai, have lifted restriction on housing purchases, aiming to boost the weak real estate market. It is expected that PPGI prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
As of May 31, HRC futures at Shanghai Futures Exchange are standing at RMB 3,833/mt ($540/mt), decreasing by RMB 70/mt ($10/mt) or 1.8 percent since May 24, while down 1.67 percent compared to the previous trading day, May 30.
$1 = RMB 7.1088