Japanese steelmakers JFE Holdings Inc. and Sumitomo Metal Industries Ltd have inked contracts with Australian miner Rio Tinto Group and Canadian miner Teck Resources, agreeing to pay $200/mt for coking coal during the quarter starting from April 1, international news sources have reported.
The price compares with the $130/mt contract price for the year ending March 31, corresponding to a 50 percent increase.
Iron ore and coking coal miners have been pushing steelmakers for a quarterly pricing scheme that would increase miner revenues and could lead to price increases in steel prices.
As SteelOrbis previously reported, Australian miner BHP Billiton, the world's largest coking coal exporter, earlier this month agreed on a similar contract with Japanese mills with a similar price increase for the April-June quarter.