Chinese PPGI coil prices upward
2016-04-13 08:53:43 [Print]
BEIJING (Asian Metal) 13 Apr 16 - The price of PPGI coil in China is on an upward trend at the moment, supported by the increased production cost. The current price of TDC51D+Z 0.5mm*1,000mm*C (with the ocean-blue color) in Shanghai, one of leading markets, is RMB6,100/t (USD944/t) VAT included, rising by RMB50/t (USD8/t) compared with that of last Friday. Insiders predict that it is likely for the price to increase further in the coming week.
A trader in Shanghai reported to Asian Metal that the price for PPGI coil TDC51D+Z 0.5mm*1,000mm*C (with the ocean-blue color) from Baosteel is RMB6,100/t (USD944/t) VAT included, up by RMB50/t (USD8/t) compared with that of last Friday. According to the source, prices increased totally by around RMB300/t (USD46/t) in past three weeks. He revealed that Baosteel announced the ex-works price of PPGI coil would be increased by RMB819/t (USD127/t) VAT included for May delivery.
Noted by the source, steel raw materials continued to increase in the past month. As a consequence, traders were encouraged and lifted prices one after another. “Even though prices have gone up, distributors are bearing losses,” he said, adding that his inventory is running at 500 tons at the moment, while it was about 1,200 tons at the same period of last year. The company’s purchasing volume for the agreement with Baosteel is 1,000 tons per month, half of that in 2015. The source revealed that he sold 900 tons in March.
A trader in Tianjin revealed that the price of PPGI coil CGCC 0.476mm*1,000mm*C with the ocean-blue color from Xinyu Group is RMB4,050/t (USD627/t) VAT included, rising by RMB100/t (USD15/t) compared with that of last trading day. The source explained that prices of flat steels such as HGI coil, CRC and HRC kept increasing sharply in local market, as steel raw materials prices rebounded firmly in North China due to the output cut. The source revealed that he is not very eager to reduce stocks at the moment as raw materials’ prices witnessed a larger mark-up than PPGI coil prices did in past two weeks.
He has an inventory of 200 tons in hand for the time being, while the regular level was about 350 tons in March. The source revealed that his sales volume reached 600 tons last month, more than that of 250 tons in February, when the market was quiet due to the Spring Festival holiday. “It is possible that Xinyu Group will further lift PPGI coil ex-works prices in April,” said the source, showing some optimism for the market outlook.
A trader in Shanghai reported to Asian Metal that the price for PPGI coil TDC51D+Z 0.5mm*1,000mm*C (with the ocean-blue color) from Baosteel is RMB6,100/t (USD944/t) VAT included, up by RMB50/t (USD8/t) compared with that of last Friday. According to the source, prices increased totally by around RMB300/t (USD46/t) in past three weeks. He revealed that Baosteel announced the ex-works price of PPGI coil would be increased by RMB819/t (USD127/t) VAT included for May delivery.
Noted by the source, steel raw materials continued to increase in the past month. As a consequence, traders were encouraged and lifted prices one after another. “Even though prices have gone up, distributors are bearing losses,” he said, adding that his inventory is running at 500 tons at the moment, while it was about 1,200 tons at the same period of last year. The company’s purchasing volume for the agreement with Baosteel is 1,000 tons per month, half of that in 2015. The source revealed that he sold 900 tons in March.
A trader in Tianjin revealed that the price of PPGI coil CGCC 0.476mm*1,000mm*C with the ocean-blue color from Xinyu Group is RMB4,050/t (USD627/t) VAT included, rising by RMB100/t (USD15/t) compared with that of last trading day. The source explained that prices of flat steels such as HGI coil, CRC and HRC kept increasing sharply in local market, as steel raw materials prices rebounded firmly in North China due to the output cut. The source revealed that he is not very eager to reduce stocks at the moment as raw materials’ prices witnessed a larger mark-up than PPGI coil prices did in past two weeks.
He has an inventory of 200 tons in hand for the time being, while the regular level was about 350 tons in March. The source revealed that his sales volume reached 600 tons last month, more than that of 250 tons in February, when the market was quiet due to the Spring Festival holiday. “It is possible that Xinyu Group will further lift PPGI coil ex-works prices in April,” said the source, showing some optimism for the market outlook.
