During the week ending April 16, import coking coal quotations in China have edged up amid limited offers from the main suppliers who can sell to the country. At the same time, ex-Australia prices for coking coal have been under pressure from weak demand as the ban in China on ex-Australia imports remains in place.
Prices for premium hard coking coal from Canada to China have increased by $6/mt over the past week to $221.5/mt CFR, while prices for lower quality coking coal from Russia have been prices at $165/mt CFR, up by $1/mt, compared to April 9.
Quotations of premium hard coking coal from Australia are equivalent to $128.5/mt CFR China, down $2/mt compared to last week. Hard coking coal prices correspond to $113.5/mt CFR, down $1.5/mt over the past week.
Coke prices in Tangshan are at RMB 2,000/mt ($306/mt) ex-warehouse, moving sideways compared to April 9, according to SteelOrbis’ data.
During the given week, coking producers’ capacity utilization rates have indicated slight decreases amid production restrictions in Shanxi Province, though they have remained at relatively high levels in other regions bolstered by strong profitability. In the past two weeks, traders and downstream users have been much more willing to purchase, resulting in good transaction activities and declining inventory levels. In the main coking coal production region - Shanxi Province - official inspections have been very strict, which will bolster coking coal prices and provide support for coke prices in the local market.
As of Friday, April 16, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 2,472.5/mt ($379/mt), increasing by RMB 106/mt ($16.2/mt) or 4.5 percent compared to April 9.
$1 = RMB 6.5288
