Shanxi Coke Association plans price hike

SteelOrbis Shanghai Market sources reported that Shanxi Coke Association is planning to hike the ex-factory prices of metallurgical coke by RMB 40/mt ($5). The adjustment is being considered due to two factors. First, metallurgical coke companies can hardly sustain with the metallurgical coke price trend which has mostly been lower than the cost since 2005. Second, the metallurgical coke inventory has recently decreased, and the export prices are rising. The export offers at Tianjin Port are at $138/mt FOB, up $18/mt compared with the lowest level last year. Shanxi Province has the largest output and export volume of metallurgical coke. In 2005, the metallurgical coke output in Shanxi Province was 80 million metric tons, accounting for 40 percent of the nationwide volume and one sixth of the global output. The 2005 coke export volume of the province was 12 million metric tons, forming 80 percent of the nationwide metallurgical coke export, and 50 percent of the global export volume.