During the past week, China's coke market generally continued to follow a weak trend. Coke price in northern China have dropped by RMB 50/mt ($7.6/mt) week on week, while prices of coking coal in eastern China are down by about RMB 60/mt ($9.1/mt) compared to one week ago.
The coke market in eastern China has continued its weak trend in the past week, with prices of coking coal in Shandong Province decreasing by RMB 60/mt ($9.1/mt) week on week.
As learned from the Hebei region, a local large-scale steel enterprise has lowered its metallurgical coke purchase price for March by RMB 80/mt ($12.2/mt). After the adjustment, the purchase price for first grade metallurgical coke is now RMB 2,030/mt ($308.5/mt), Accordingly, coke prices in Hebei are expected to decrease.
In central and southern China, the coke market has been basically stable, with some transactions have been seen after the price decrease in the previous week. Since coal washing plants have not fully resumed operations and since most coking enterprises are cautious about making purchases, supply and demand as regards refined coal are essentially in equilibrium.
In northeastern China, coal enterprises have not fully started production. In the meantime, coking enterprises are still consuming their own inventories, with few purchases observed. Therefore, coking coal supply and demand is relatively balanced.
Meanwhile, in western China, ex-works prices of 10 grade refined coal are at RMB 1,500/mt ($228/mt) in the Liupanshui area of Guizhou Province, tax included, while prices of 1/3 grade coking coal in Panzhihua, Sichuan Province are at RMB 1,350/mt ($205.2/mt), tax included.