The Chinese domestic metallurgical coke market has been on a stable trend in the past week. Some weakening of coking coal prices has been seen in the northern region, while a rebound has been witnessed in eastern China. Production and sales volumes of coking coal have been stable in central China, while there has been a shortage of coking coal in southwest China due to accidents at mines. As regards coke futures at Dalian Commodity Exchange, the main contract (J1109) closed at $358/mt on Wednesday, down $3.5/mt week on week.
Prices of coke in local markets in China
Product name |
Specification |
Place of origin |
Price（RMB/mt） |
Price (USD/mt) |
Weekly change（RMB/mt） |
Coke |
Second grade |
Hancheng, Shaanxi |
1,800 |
277 |
0 |
Zibo, Shandong |
1,900 |
292 |
0 |
||
Pingdingshan, Henan |
1,980 |
305 |
0 |
||
Shanghai |
2,050 |
315 |
0 |
||
Huaibei, Anhui |
1,950 |
300 |
0 |
||
Average |
1,936 |
298 |
0 |
Second grade coke is offered at $298/mt on average across China, and are reported at $300/mt in Huaibei and at $292/mt in Zibo.
Domestic steel mills are keeping low inventories of coke currently. The steel mills are cautious about making purchases due to the sluggish market demand for steel products and financial pressure. China's coke market could rise up in the short term, but this will depend on the steel market and on coking coal costs.