During the week ending March 1, local coke prices in China have moved down further compared to the previous week amid still weakening coking coal prices, poor demand and even despite some decline in output.
First-grade coke prices in Tangshan are at RMB 2,200/mt ($310/mt) ex-warehouse, moving down by RMB 110/mt ($15.5/mt) compared to February 23, according to SteelOrbis’ data.
Prices of coke in local markets in China
|
Product Name |
Specification |
Place of Origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly Change（RMB/mt) |
Weekly Change（$/mt) |
|
Coke |
First grade （A<13.0,S<0.75,CSR>65.0 |
Hancheng, Shaanxi |
2,160 |
304.0 |
-110.0 |
-15.5 |
|
Zibo, Shandong |
2,350 |
330.7 |
-110.0 |
-15.5 |
||
|
Pingdingshan, Henan |
2,200 |
309.6 |
-110.0 |
-15.5 |
||
|
Tangshan |
2,200 |
309.6 |
-110.0 |
-15.5 |
||
|
Huaibei, Anhui |
2,250 |
316.6 |
-110.0 |
-15.5 |
||
|
Average |
2,232 |
314.1 |
-110.0 |
-15.5 |
All prices include 13 percent VAT.
During the given week, coke prices in the Chinese domestic market have continued their downtrend. Since the profitability of coking plants is not good, most of them have decreased their production capacity utilization rates slightly, resulting in declining outputs. Local coking coal prices have edged down despite previous talk about inspections of miners, also weakening the support for coke prices from the cost side.
On March 1, offer prices of coke CSR65 in the export market are at $325-330/mt FOB, decreasing by $10-15/mt compared to February 23. But some negotiations were possible at $320/mt FOB early this week. Offers for Indonesian coke were softening at a slower pace, to $335-340/mt FOB, versus $345/mt FOB late last week.
The latest deal for ex-Russia PCI has been reported at $142/mt CFR this week, which is in line with the pre-holiday level. Though suppliers were trying to increase prices, offering $145-147/mt CFR last week, they failed and fresh offers are at $143-144/mt CFR.
As of Friday, March 1, coking coal futures at Dalian Commodity Exchange (DCE) have settled at RMB 1,780.5/mt ($251/mt), up by RMB 14.5/mt ($2.9/mt) or 0.8 percent week on week, and increasing by 0.11 percent compared to the previous trading day, February 29. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,361.5/mt ($333/mt), decreasing by RMB 9/mt ($1.3/mt) or 0.4 percent compared to February 23, and down 0.63 percent compared to the previous trading day, February 29.
$1 = RMB 7.1059