During the week ending November 5, import quotations for coking coal in China have edged down due to weakening demand, while local coke prices have posted visible declines too.
Quotations of coking coal from North America have been at $600-605/mt CFR, down from $608/mt CFR last week. Lower quality Russian coal has been at $435/mt CFR, moving sideways compared to October 29.
Coke prices in Tangshan are at RMB 3,960/mt ($619/mt) ex-warehouse, moving down by RMB 200/mt ($31.25/mt) compared to October 29, according to SteelOrbis’ data.
During the given week, coke prices in the Chinese domestic market moved down amid the declining capacity utilization rates on coking plants’ side due to the continuing environmental inspections in Shanxi Province. Some steelmakers slowed down their purchasing activities for coke, resulting in the rising coke inventory levels. The coking coal prices in the local market also indicated a downtrend, which weakened the support for coke prices. It is thought that coke prices in the Chinese domestic market will decline further in the coming week.
As of Friday, November 5, coke futures prices at Dalian Commodity Exchange (DCE) are at RMB 3,046/mt ($476/mt), rising by RMB 68/mt ($10.6/mt) or 2.3 percent compared to October 29.
$1 = RMB 6.398
