During the week ending June 19, metallurgical coke prices in the Chinese domestic market have followed a stable trend, while transaction activity in the overall market is at decent levels. As of June 19, coke futures contract (1509) offers at Dalian Commodity Exchange closed at RMB 882/mt ($142/mt), down $3/mt week on week. Average coke prices in the local Chinese market are presented in the table below.
During the given week, since the capacity utilization rates of domestic coking plants in China have not been at high levels, the pressure from the supply side in the local coke market has not been so strong, and so coking plants and traders have been able to keep their prices stable even though steelmakers have tried to purchase coke at lower prices.
However, the continuous declining trend of finished steel prices will exert a negative impact on coke prices in the coming period as domestic steelmakers will continue to push for reductions in coke prices in order to limit their costs. It is thought that coke prices in the Chinese domestic market will likely move on a slight downtrend in the week ahead.
Product name | Spec. | Place of origin | Price (RMB/mt) | Price ($/mt) | Weekly change (RMB/mt) |
Coke | 2nd grade | Hancheng,Shaanxi | 700 | 113 | 0 |
Zibo ,Shandong | 830 | 134 | 0 | ||
Pingdingshan,Henan | 820 | 132 | 0 | ||
Tangshan | 850 | 137 | 0 | ||
Huaibei,Anhui | 900 | 145 | 0 | ||
Average | 820 | 132 | 0 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.21