During the week ending June 13, local coke prices in China have moved down compared to June 6, in the third round of price cuts. At the same time, export quotations are also fallen, to below $200/mt FOB.
First-grade coke prices in Tangshan are at RMB 1,265/mt ($176/mt) ex-warehouse, moving down by RMB 55/mt ($7.5/mt) compared to June 6, according to SteelOrbis’ data.
Prices of coke in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coke | First grade （A<13.0,S<0.75,CSR>65.0） | Hancheng, Shaanxi | 1,225 | 170.7 | -55.0 | -7.5 |
| Zibo, Shandong | 1,415 | 197.2 | -55.0 | -7.4 | ||
| Pingdingshan, Henan | 1,265 | 176.3 | -55.0 | -7.5 | ||
| Tangshan | 1,265 | 176.3 | -55.0 | -7.5 | ||
| Huaibei, Anhui | 1,315 | 183.2 | -55.0 | -7.5 | ||
| Average | 1,297 | 180.7 | -55.0 | -7.5 |
including 13 percent VAT
Prices of coking coal in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coking Coal | A9,S0.4,V19,G88 | Linfen low-sulfur primary coking coal | 1,180 | 164.4 | -10.0 | -1.2 |
| A10.5,S3,V25,G80 | Lveliang high-sulfur primary coking coal | 823 | 114.7 | -2.0 | -0.2 | |
| A10,S1.8,V21,G90 | Jinzhong medium-sulfur primary coal | 852 | 118.7 | -55.0 | -7.5 | |
| A12,S1.2,V37.G90 | Linfen low-sulfur 1/3 coking coal | 880 | 122.6 | 0.0 | 0.1 | |
| Average | 933.75 | 130.1 | -16.8 | -2.2 |
The third round of declines in coke prices has been implemented amid losses on the coking plants’ side. Inventory of coke has increased, exerting a negative impact on prices. Molten iron output has indicated decreases for the past few weeks, slackening the demand for coke. Moreover, demand for finished steel has been sluggish amid the plum rainy season in the lower and middle reaches of the Yangtze River, which will negatively affect the demand for coke and drag down its prices further in the coming week.
On June 13, offer prices of coke CSR65 in the export market are at $195-200/mt FOB, decreasing by $15-20/mt since the beginning of June. Though some offers are at $200-205/mt FOB, bids are below $200/mt FOB, with Indonesian coke priced at $195/mt FOB.
During the given week, average coking coal prices in the Chinese domestic market have indicated further declines. Following the decreases, the inventory of coking coal decreased, easing the pressure to a certain degree.
As of June 13, coking coal futures at Dalian Commodity Exchange (DCE) are standing at RMB 774.5/mt ($107.6/mt), decreasing by RMB 4/mt ($0.6/mt) or 0.5 percent since June 6, while up 0.06 percent compared to the previous trading day, June 12. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are standing at RMB 1,349.5/mt ($187.6/mt), decreasing by RMB 1/mt ($0.14/mt) or 0.07 percent since June 6, while up 0.75 percent compared to the previous trading day, June 12.
$1 = RMB 7.1772