During the week ending April 3, local coke prices in China have moved up compared to March 27, in the first round of price increases. Though suppliers hope that a second price increase round may be implemented soon, buyers are resisting for now.
First-grade coke prices in Tangshan are at RMB 1,655/mt ($240/mt) ex-warehouse, moving up by RMB 55/mt ($8/mt) compared to March 27, according to SteelOrbis’ data.
Prices of coke in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coke | First grade （A<13.0,S<0.75,CSR>65.0） | Hancheng, Shaanxi | 1,555 | 225.6 | 55.0 | 8.6 |
| Zibo, Shandong | 1,690 | 245.2 | 55.0 | 8.7 | ||
| Pingdingshan, Henan | 1,540 | 223.4 | 55.0 | 8.6 | ||
| Tangshan | 1,655 | 240.1 | 55.0 | 8.7 | ||
| Huaibei, Anhui | 1,590 | 230.7 | 55.0 | 8.7 | ||
| Average | 1,606 | 233.0 | 55.0 | 8.7 |
including 13 percent VAT
Prices of coking coal in local markets in China
| Product Name | Specification | Place of Origin | Price（RMB/mt） | Price ($/mt) | Weekly Change（RMB/mt） | Weekly Change（$/mt） |
| Coking Coal | A9,S0.4,V19,G88 | Linfen low-sulfur primary coking coal | 1,510 | 219.1 | -90.0 | -12.4 |
| A10.5,S3,V25,G80 | Lveliang high-sulfur primary coking coal | 1,283 | 186.1 | -78.0 | -10.7 | |
| A10,S1.8,V21,G90 | Jinzhong medium-sulfur primary coal | 1,317 | 191.1 | -49.0 | -6.5 | |
| A12,S1.2,V37.G90 | Linfen low-sulfur 1/3 coking coal | 1,240 | 179.9 | 90.0 | 13.6 | |
| Average | 1,337.5 | 194.0 | -31.8 | -4.0 |
During the given week, coke prices in the Chinese domestic market have moved up, exerting a positive impact on coking plants’ profitability. Molten iron outputs are expected to continue to move up, which will bolster coke prices to a certain degree. Rumors indicate there will be another round of hikes in coke prices, while steelmakers appear unwilling to accept a further rise. It is expected that coke prices will fluctuate within a limited range in the coming week.
During the given week, local coking coal prices have moved down amid the prevailing cautious sentiments among market players. Some coal mines in the Lüliang region of Shanxi Province have suspended operations for safety inspections following an accident, leading to a marginal contraction in local supply, while its impact on national coal supply has remained limited. Though molten iron outputs have increased continuously, downstream purchases have cooled down. Buyers mostly purchase in line with needs instead of accepting high-priced coking coal. However, the hike in coke prices may provide support for coking coal prices. It is expected that coking coal prices will move sideways in the coming week.
On April 3, offer prices of coke CSR65 in the export market are at $242/mt FOB, rising by $4/mt compared to March 27.
As of April 3, coking coal futures at Dalian Commodity Exchange (DCE) are standing at RMB 1,112.5/mt ($161/mt), decreasing by RMB 106.5/mt ($15.4/mt) or 8.7 percent since March 27, while down 1.2 percent compared to the previous trading day, April 2. Meanwhile, coke futures prices at Dalian Commodity Exchange (DCE) are standing at RMB 1,670/mt ($242/mt), declining by RMB 82/mt ($11.9/mt) or 4.7 percent since March 27, while decreasing by 0.86 percent compared to the previous trading day, April 3.
$1 = RMB 6.8929
