During the week ending May 10, average prices of pre-painted galvanized iron (PPGI) in the Chinese domestic market have moved on an upward trend, 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 at $675-695/mt, moving sideways compared to April 26.
|
Specification (mm) |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
|
0.476 x 1,000 |
CGCC |
5,567 |
23 |
784 |
3 |
|
0.426 x 1,000 |
CGCC |
5,693 |
57 |
802 |
8 |
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 indicated an increasing trend. However, HRC futures prices have declined over the past three trading days, following a rebounding trend seen after the Labor Day holiday, negatively affecting market sentiments. Recently, coke prices have moved up, bolstering PPGI prices from the cost side. Demand for PPGI has not seen any significant improvement, exerting a negative impact on prices. It is expected that PPGI prices in the Chinese domestic market will edge down slightly in the coming week.
As of May 10, HRC futures at Shanghai Futures Exchange are standing at RMB 3,806/mt ($536/mt), decreasing by RMB 27/mt ($3.8/mt) or 0.7 percent since April 26, while down 0.05 percent compared to the previous trading day, May 9.
$1 = RMB 7.1011