During the week ending December 22, local coke prices in China have moved sideways compared to the previous week. But the sentiment is still positive as both local and import coking coal prices are on the rise. Moreover, deals and bids for ex-Australia coking coal have improved this week after dropping lower than expected.
First-grade coke prices in Tangshan are at RMB 2,640/mt ($372/mt) ex-warehouse, moving sideways compared to December 15, according to SteelOrbis’ data.
Prices of coke in local markets in China
Product Name |
Specification |
Place of Origin |
Price（RMB/mt） |
Price ($/mt) |
Weekly Change（RMB/mt） |
Weekly Change（$/mt） |
Coke |
First grade （A<13.0,S<0.75,CSR>65.0） |
Hancheng, Shaanxi |
2,600 |
366.5 |
0.0 |
0.1 |
Zibo, Shandong |
2,790 |
393.2 |
0.0 |
0.1 |
||
Pingdingshan, Henan |
2,640 |
372.1 |
0.0 |
0.1 |
||
Tangshan |
2,640 |
372.1 |
0.0 |
0.1 |
||
Huaibei, Anhui |
2,690 |
379.1 |
0.0 |
0.1 |
||
Average |
2,672 |
376.6 |
0.0 |
0.1 |
including 13 percent VAT
During the given week, coke prices in the Chinese domestic market have moved sideways amid slightly rising capacity utilization rates of coking plants. Demand for coke from steelmakers has been slack, while coking coal prices have been at relatively high levels amid tight supply, which is more obvious after the latest mine accident.
On December 22, offer prices of coke CSR65 in the export market have been at $367/mt FOB, decreasing by $1/mt compared to December 15.
The tradable level in the import premium hard coking coal (PHCC) in China has added $5/mt over the week to $335/mt CFR with interest in Australian coal is still there but suppliers don’t want to agree to such lower prices as it is equivalent to $320/mt FOB as the highest.
A deal for 40,000 mt of mid-volatile PHCC from Australia was done at $325.4/mt FOB on Wednesday, which is much above $305.1/mt FOB contract last week for the same grade. “Prices below $310/mt FOB were too low as India demand persists and buyers are ready to pay $320-325/mt FOB,” a trading source said.
As of Friday, December 22, coking coal futures at Dalian Commodity Exchange (DCE) have settled at RMB 1,968.5/mt ($277/mt), up by RMB 61/mt ($8.6/mt) or 3.2 percent week on week, which increased by 2.85 percent compared to the previous trading day (December 21). Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,578/mt ($363/mt), rising by RMB 49.5/mt ($7/mt) or 1.96 percent compared to December 15, which saw a rise of 3.7 percent compared to the previous trading day.
$1 = RMB 7.0953