Local coke prices in China keep falling

Friday, 23 August 2024 14:33:19 (GMT+3)   |   Shanghai

During the week ending August 23, local coke prices in China have declined compared to the previous week as demand has remained low and some rebounds in futures prices and steel spot prices have failed to help.

First-grade coke prices in Tangshan are at RMB 1,815/mt ($254/mt) ex-warehouse, moving down by RMB 55/mt ($7.7/mt) compared to August 16, 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  

1,775

248.7

-55.0

-7.3

Zibo, Shandong

1,965

275.4

-55.0

-7.3

Pingdingshan, Henan

1,815

254.3

-55.0

-7.3

Tangshan

1,815

254.3

-55.0

-7.3

Huaibei, Anhui

1,865

261.4

-55.0

-7.3

Average

1,847

258.8

-55.0

-7.3

All prices include 13 percent VAT.

During the given week, coke prices in the Chinese domestic market have continued their downtrend amid increasing inventories. Coking plants have started to incur losses following the fifth round of price cuts, and so some of them have halted production to reduce losses and to bolster coke prices. Local coking coal prices have also edged down, exerting a negative impact on the coke market. Bearish sentiments have prevailed among market players as steelmakers have also been incurring losses during the traditional offseason. It is thought that coke prices in the Chinese domestic market may move sideways in the coming week if ferrous metal futures prices increase.

On August 23, offer prices of coke CSR65 in the export market have been at $272/mt FOB, moving sideways compared to August 16.

As of August 23, coking coal futures at Dalian Commodity Exchange (DCE) are standing at RMB 1,314/mt ($184/mt), decreasing by RMB 29.5/mt ($4.1/mt) or 2.2 percent since August 16, while down 3.35 percent compared to the previous trading day, August 22. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are standing at RMB 1,889/mt ($265/mt), increasing by RMB 63.5/mt ($9/mt) or 3.5 percent since August 16, while down 3.08 percent compared to the previous trading day, August 22.

$1 = RMB 7.1358


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