During the week ending August 4, coke prices have indicated an upward trend compared to the previous week, while slower supply due to the adverse weather conditions has caused steelmakers to accept the fourth round of coke price increases.
First-grade coke prices in Tangshan are at RMB 2,310/mt ($323/mt) ex-warehouse, moving up by RMB 110/mt compared to July 28, according to SteelOrbis’ data.
Prices of coke in local markets in China
|
|
Specification |
Place of Origin |
Price（RMB/mt） |
Price ($/mt) |
Weekly Change（RMB/mt） |
Weekly Change（$/mt） |
|
Coke |
First grade （A<13.0,S<0.75,CSR>65.0） |
Hancheng,Shaanxi |
2,270 |
317.8 |
110.0 |
15.1 |
|
Zibo ,Shandong |
2,460 |
344.4 |
110.0 |
15.0 |
||
|
Pingdingshan,Henan |
2,310 |
323.4 |
110.0 |
15.1 |
||
|
Tangshan |
2,310 |
323.4 |
110.0 |
15.1 |
||
|
Huaibei,Anhui |
2,360 |
330.4 |
110.0 |
15.0 |
||
|
Average |
2,342 |
327.9 |
110.0 |
15.1 |
All prices include 13 percent VAT
During the given week, the fourth round of coke price hikes has been accepted by steelmakers. At the same time, coking plants’ capacity utilization rates have risen as they have been more eager to produce. Increases in local coal prices came to a halt amid sufficient supply, exerting a positive impact on coking plants’ capacity utilization rates. The floods in northern China caused by the typhoons negatively affected transportation, resulting in insufficient supplies arriving in the market, while steelmakers’ demand for coke has been firm, also providing support for coke prices. It is thought that coke prices may move sideways in the coming week.
In the export market, tradable levels for ex-China CRS 63/65 coke have been at $310/mt FOB, versus $305-310/mt FOB last week, with a few deals done and new offers have been not below $315/mt FOB.
At the same time, ex-Russia coking coal prices have been relatively stable this week. Ex-Russia GJ hard coking coal has been sold at $170/mt CFR China for August laycan, while GJO has been offered at $168/mt CFR China. Offers for ex-Russia PCI have been rare and stable at $160/mt CFR.
As of Friday, August 4, coking coal futures at Dalian Commodity Exchange (DCE) have settled at RMB 1,470/mt ($206/mt), down by RMB 15/mt ($2.1/mt) or 1.01 percent week on week. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,231/mt ($312/mt), decreasing by RMB 66.5/mt ($9.3/mt) or 2.89 percent compared to July 28.
$1 = RMB 7.1418