During the two weeks ending February 23, local coke prices in China have moved down compared to the previous week due to slow demand after the long holiday and weak steel prices. However, taking into account rumors about coking coal production cuts in China in the first half this year, further sharp price falls are doubtful, at least in the near future.
First-grade coke prices in Tangshan are at RMB 2,310/mt ($325/mt) ex-warehouse, moving down by RMB 110/mt ($15.5/mt) compared to February 9, according to SteelOrbis’ data.
Prices of coke in local markets in China
|
Product Name |
Specification |
Place of Origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly Change（RMB/mt) |
Weekly Change（$/mt) |
|
Coke |
First grade （A<13.0,S<0.75,CSR>65.0 |
Hancheng, Shaanxi |
2,270 |
319.4 |
-110.0 |
-15.6 |
|
Zibo, Shandong |
2,460 |
346.2 |
-110.0 |
-15.6 |
||
|
Pingdingshan, Henan |
2,320 |
326.5 |
-100.0 |
-14.2 |
||
|
Tangshan |
2,310 |
325.1 |
-110.0 |
-15.6 |
||
|
Huaibei, Anhui |
2,360 |
332.1 |
-110.0 |
-15.6 |
||
|
Average |
2,344 |
329.9 |
-108.0 |
-15.3 |
All prices include 13 percent VAT.
During the given period, coke prices in the Chinese domestic market have moved down as widespread snowy and rainy weather has been negatively affecting the demand from steelmakers. Local coking coal prices have edged down too for now, also weakening the support for coke prices from the cost side. It is thought that coke prices in the Chinese domestic market might move sideways in the coming week.
On February 23, offer prices of coke CSR65 in the export market are at $340/mt FOB, decreasing by $3/mt compared to February 9. However, the real tradable level is assessed at not being above $330/mt FOB. The Indonesian producer is offering coke at $345/mt FOB.
As of Friday, February 23, coking coal futures at Dalian Commodity Exchange (DCE) have settled at RMB 1,766/mt ($249/mt), up by RMB 20/mt ($2.8/mt) or 1.1 percent compared to two weeks ago, which decreased by 0.65 percent compared to the previous trading day (February 22). Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,370.5/mt ($334/mt), decreasing by RMB 7.5/mt ($1.1/mt) or 0.32 percent compared to February 9 and down 0.44 percent compared to the previous trading day (February 22).
$1 = RMB 7.1068