Latest situation in local Chinese coke market

Friday, 24 November 2017 14:02:36 (GMT+3)   |   Shanghai

During the week ending November 24, metallurgical coke prices in the Chinese domestic market have moved on a stable trend, while transaction activity in the overall market has been better than in the previous week, though it remains at low levels. As of November 24, coke futures contract (1801) offers at Dalian Commodity Exchange closed at RMB 2,020/mt ($306/mt), up $29/mt week on week. Average coke prices in the local Chinese market are presented in the following table. 

During the given week, coke futures prices at Dalian Commodity Exchange (DCE) have increased, providing support for coke prices in the domestic spot market. Coking plants’ capacity utilization rates are at low levels, though they are unlikely to decrease further. Steelmakers’ coke inventories had decreased slightly and so they have stepped up their purchases of coke, resulting in improved activity in the market. However, demand will continue to be on the slack side due to steelmakers’ production cuts in northern China within the scope of environmental protection measures. It is thought that coke prices in the Chinese domestic market will continue their stable trend in the coming week.

Product name

Specification

Place of origin

Price (RMB/mt)

Price ($/mt)

Weekly change (RMB/mt)

Coke

Second grade

Hancheng, Shaanxi

1,560

236

0

Zibo, Shandong

1,550

235

0

Pingdingshan, Henan

1,670

253

0

Tangshan

1,615

245

0

Huaibei, Anhui

1,900

288

0

Average

1,659

251

0

17 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.60


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