Latest situation in local Chinese coke market

During the week ending October 17, metallurgical coke prices in the Chinese domestic market have mostly remained stable, though indicating a slight rising trend in Tangshan and Huaibei, while transaction activity in the overall market has continued to improve and is now at decent levels. As of October 17, coke futures contract (1501) offers at Dalian Commodity Exchange closed at RMB 1,075/mt ($176/mt), remaining almost unchanged week on week. Local coke prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.
 
Due to government measures on environmental protection, production of coking plants will face certain restrictions, which will limit supplies and provide some support for domestic coke prices. Some large coking enterprises in Hebei Province have raised their ex-works prices for coke by RMB 20/mt ($3.26/mt), while other coke producers are expected to raise their ex-works prices by RMB 30/mt ($4.89/mt). Leading Chinese coke producer Shenhua Group has not yet issued its price adjustment. However, since prices of iron ore and finished steel are unlikely to continue their upward movement, it is expected that coke prices in the Chinese domestic market will only indicate a slight uptrend in the coming week.