Metallurgical coke has not been included in the 2013 Tariff Practices Provisions published by China’s Ministry of Finance on December 17, indicating China’s cancellation of coke export duty for 2013. In 2012, the export duty on coke and semi-coke in China was 40 percent.
Insiders point out that the coke sector in China is currently characterized by oversupply due to sluggish demand from the steel industry. The cancellation of the coke export duty could turn the current oversupply situation to the advantage of China’s coke sector as Japan, South Korea and India will again start to purchase significant volumes of coke from China. China was previously the largest coke exporter in the international market when its coke enjoyed an export tax rebate. In 2000, China accounted for 60 percent of the global coke trade volume.
Chinese customs data indicate that in January-November this year China’s exports of coke and semi-coke amounted to 960,000 mt, down 70 percent compared with 3.2 million mt in the same period of 2011.