During the week ending December 29, local coke prices in China have remained stable, while prices have been moving down slightly in the export market. However, market sources believe that local prices may retreat in the near future amid the declines seen in the coking coal market.
First-grade coke prices in Tangshan are at RMB 2,640/mt ($372/mt) ex-warehouse, remaining stable compared to December 22, according to SteelOrbis’ data.
Prices of coke in local markets in China
|
Product Name |
Specification |
Place of Origin |
Price（RMB/mt） |
Price ($/mt) |
Weekly Change（RMB/mt） |
Weekly Change（$/mt） |
|
Coke |
First grade （A<13.0,S<0.75,CSR>65.0) |
Hancheng,Shaanxi |
2,600 |
367.1 |
0.0 |
0.6 |
|
Zibo, Shandong |
2,790 |
393.9 |
0.0 |
0.7 |
||
|
Pingdingshan,Henan |
2,640 |
372.7 |
0.0 |
0.6 |
||
|
Tangshan |
2,640 |
372.7 |
0.0 |
0.6 |
||
|
Huaibei, Anhui |
2,690 |
379.8 |
0.0 |
0.6 |
||
|
Average |
2,672 |
377.2 |
0.0 |
0.6 |
including 13 percent VAT
During the given week, coke prices in the Chinese domestic market have remained stable amid the resumption of transportation, resulting in declining inventories of coke. Coking plants’ capacity utilization rates have declined due to production halts amid environmental protection measures. Currently, demand for coke from steelmakers is slack, and this situation will continue in the near future. Declines in coke prices are anticipated by market players. Local coking coal prices have moved down, weakening the support for coke prices from the cost side. It is thought that coke prices in the Chinese domestic market will likely decline, though by limited margins, in the coming week.
On December 29, offer prices of coke CSR65 in the export market have been at $360/mt FOB, decreasing by $7/mt compared to December 22.
The tradable price for import premium hard coking coal in China is at $330-335/mt CFR, versus $335/mt CFR last week.
One deal for ex-Australia low-volatile PHCC has been done at $320.5/mt FOB to Japan. But the tradable level for mid-volatile PHCC is still higher, at about $325/mt FOB.
As of Friday, December 29, coking coal futures at Dalian Commodity Exchange (DCE) have settled at RMB 1,968.5/mt ($277/mt), down by RMB 81/mt ($8.6/mt) or 4.1 percent week on week, which decreasing by 0.81 percent compared to the previous trading day (December 28). Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,491.5/mt ($363/mt), decreasing by RMB86.5/mt ($12.2/mt) or 3.4 percent compared to December 22, and indicating a decline of 0.4 percent compared to the previous trading day.
$1 = RMB 7.0827