On October 31, the coking industry association of the Chinese province of Shandong published its guidelines for the local coking industry for the month of Novermber, recommending that coke producers in Shandong Province should limit outputs by at least 30 percent of capacity and should act in line with coal and steel market trends.
In addition, the association's guideline prices for coke have changed compared to October levels. The guideline ex-mill price for first grade metallurgical coke has risen by RMB 100/mt ($14.97/mt) compared to October levels to RMB 1,950/mt ($291.92/mt), while the guideline price for second grade metallurgical coke is up by RMB 100/mt ($14.97/mt) month on month to RMB 1,850/mt ($276.95/mt).
These increases in coke prices will increase the costs of local mills.
US$1 = RMB 6.68