During the week ending July 16, import quotations for coking coal in China have remained firm, supported by tight supply in both local and import markets. Nevertheless, the recent decline in local coke prices in China has exerted some pressure.
Quotations of premium hard coking coal from Canada are at $308.5/mt CFR, up $0.5/mt compared to July 9. Prices for lower grade Russian coking coal have remained stable at $197/mt CFR.
At the same time, Australian suppliers have still been pushing prices up amid demand from alternative destinations. Quotations of premium hard coking coal from Australia are equivalent to $234/mt CFR China, up $9.5/mt compared to last week. Hard coking coal prices from Australia translate to $180/mt CFR, up $5/mt compared to the previous week.
Coke prices in Tangshan are at RMB 2,600/mt ($420/mt) ex-warehouse, down RMB 120/mt ($18.5/mt) compared to July 9, according to SteelOrbis’ data.
During the given week, coke prices in the Chinese domestic market have indicated declines in some regions, though remaining stable in other places, amid the increasing capacity utilization rates and rising inventory levels. However, demand for coke has slackened due to production restrictions at some steelmakers. It is thought that coke prices in the Chinese domestic market may edge down in the coming week.
As of Friday, July 16, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,693/mt ($416/mt), increasing by RMB 198.5/mt ($30.7/mt) or 7.94 percent compared to July 9.
$1 = RMB 6.4705