During the week ending September 6, metallurgical coke prices in the Chinese domestic market have mostly moved on a downward trend, while transaction activity in the overall market has been at low-to-medium levels. As of September 6, coke futures contract (2001) offers at Dalian Commodity Exchange closed at RMB 1,918.0/mt ($271/mt), up $4/mt or 1.4 percent compared to that recorded on August 30. However, the supply-demand imbalance has put pressure on spot market prices. During the given week, though coking plants’ capacity utilization rates have seen slight decreases as some of them were incurring losses and cut production, the inventory level on the coking plants’ side has seen big rises, exerting a negative impact on coke market. Average coke prices in the local Chinese market are presented in the following table.
|
Product name |
Specification |
Place of origin |
Price(RMB/mt) |
Price ($/mt) |
Weekly change(RMB/mt) |
Weekly change($/mt) |
|
Coke |
Second grade |
Hancheng,Shaanxi |
1,700 |
239,9 |
-100 |
-14.1 |
|
Zibo ,Shandong |
1,800 |
254,1 |
-100 |
-14.1 |
||
|
Pingdingshan,Henan |
1,950 |
275,2 |
0 |
0 |
||
|
Tangshan |
1,850 |
261,1 |
-100 |
-14.1 |
||
|
Huaibei,Anhui |
1,930 |
272,4 |
0 |
0 |
||
|
Average |
1,846 |
260,6 |
-60 |
-8.5 |
13 percent VAT is included in all prices and all prices are ex-warehouse.
As steelmakers’ production curb measures will be stricter approaching to the National Day Holiday, market participants are bearish on the future prospects for the coke market due to the expected slacker demand for coke.
$1 = RMB 7.08