During the given week, the third round of hikes of coke prices has been implemented in the Chinese domestic market. Most coking plants have maintained production activities at normal levels, while inventories of coke are relatively low, bolstering prices firmly. Molten iron outputs have increased in China, exerting a positive impact on demand for coke. The fourth successive round of coke price hikes is anticipated to be implemented in the coming week.
First-grade coke prices in Tangshan are at RMB 1,765/mt ($258/mt) ex-warehouse, moving up by RMB 55/mt ($8.3/mt) compared to May 8, according to SteelOrbis’ data.
Prices of coke in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coke | First grade （A<13.0,S<0.75,CSR>65.0） | Hancheng, Shaanxi | 1,665 | 243.3 | +55.0 | +8.3 |
| Zibo, Shandong | 1,800 | 263.1 | +55.0 | +8.3 | ||
| Pingdingshan, Henan | 1,650 | 241.2 | +55.0 | +8.3 | ||
| Tangshan | 1,765 | 258.0 | +55.0 | +8.3 | ||
| Huaibei, Anhui | 1,700 | 248.5 | +55.0 | +8.3 | ||
| Average | 1,716 | 250.8 | +55.0 | +8.3 |
Prices include 13 percent VAT.
Prices of coking coal in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coking Coal | A9,S0.4,V19,G88 | Linfen low-sulfur primary coking coal | 1,620 | 236.8 | +30.0 | +4.7 |
| A10.5,S3,V25,G80 | Lveliang high-sulfur primary coking coal | 1,307 | 191.0 | -31.0 | -4.3 | |
| A10,S1.8,V21,G90 | Jinzhong medium-sulfur primary coal | 1,330 | 194.4 | +56.0 | +8.4 | |
| A12,S1.2,V37.G90 | Linfen low-sulfur 1/3 coking coal | 1,230 | 179.8 | +30.0 | +4.6 | |
| Average | 1,371.75 | 200.5 | +21.3 | +3.3 |
During the given week, local coking coal prices have moved up as well amid increases in both demand and outputs. There has been tight supply of some coking coal products, providing support for prices. However, recent declines in ferrous metal futures prices may weaken the coking coal market. It is thought that coking coal prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
On May 15, offer prices of coke CSR65 in the export market have been at $260/mt FOB, increasing by $6/mt compared to May 8. At the same time, offers for Indonesian coke for June have been very rare and at high prices due to tight supply - at $270-275/mt FOB.
As of May 15, coking coal futures at Dalian Commodity Exchange (DCE) are standing at RMB 1,225/mt ($179/mt), decreasing by RMB 61/mt ($9/mt) or 4.7 percent since May 8, while down 1.57 percent compared to the previous trading day, May 14. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are standing at RMB 1,807/mt ($264/mt), decreasing by RMB 21/mt ($3.1/mt) or 1.15 percent since May 8, while down 0.74 percent compared to the previous trading day, May 14.
$1 = RMB 6.8415
