During the week ending October 27, metallurgical coke prices in the Chinese domestic market have seen an overall downtrend, while transaction activity in the overall market has been at low levels. As of October 27, coke futures contract (1801) offers at Dalian Commodity Exchange closed at RMB 1,725/mt ($259/mt), down $7/mt week on week. Average coke prices in the local Chinese market are presented in the following table.
During the given week, Chinese coking plants’ capacity utilization rates have increased, especially in northern China, eastern China and southwestern China, after the ending of previous output restrictions, resulting in increased coke supply. Market participants have mostly been maintaining a wait-and-see stance, resulting in low transaction activity and increased coke inventories. Meanwhile, coking coal prices have declined, weakening support for coke prices. At the same time, coke futures prices have also decreased, exerting a negative impact on the domestic coke market. Furthermore, some steelmakers have been carrying out maintenance works, resulting in slacker demand for coke. It is thought that coke prices in the Chinese domestic market will likely edge down further in the coming week.
|
Product name |
Specification |
Place of origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly change (RMB/mt) |
|
Coke |
Second grade |
Hancheng, Shaanxi |
1,660 |
250 |
↓300 |
|
Zibo, Shandong |
1,750 |
263 |
↓400 |
||
|
Pingdingshan, Henan |
1,930 |
290 |
↓150 |
||
|
Tangshan |
1,850 |
278 |
↓290 |
||
|
Huaibei, Anhui |
2,030 |
305 |
↓170 |
||
|
Average |
1,844 |
277 |
↓262 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.65