During the week ending November 18, second grade metallurgical coke prices north of Huaihe River in China have risen by RMB 20/mt ($3.16/mt), while prices in the other regions of China have remained unchanged compared to the previous week. Market insiders state that the increased stability in finished steel prices and the rebound in iron ore prices have temporarily relieved the pressure on the domestic coke market. Meanwhile, the main coke futures contract price at Dalian Commodity Exchange has dropped by $6/mt week on week, with the price closing at RMB 2,009/mt ($316/mt).
As of November 18, the average spot price of second grade metallurgical coke in China stands at $306/mt, with most coke quotations in the country remaining unchanged on week-on-week basis.
Thanks to the significant reduction in output by Chinese coke producers, prices of coke in China have generally avoided further decreases. However, there is still insufficient demand for coke products in the Chinese domestic market. It is expected that coke prices in China will continue to move sideways in the coming week.