Latest Update in the China Coke Market

SMM’s research showed that domestic operating rates of blast furnace dropped by 1.4% to 85.8% over last week, and declined by 1.1% from last month. As the off-season performance is more and more obvious, steel mills profits have been squeezed continuously. According to SMM, majority steel mills are suffering thin profits based on iron ore price of 222USD/mt.

SMM data showed that HRC stocks across social warehouses and steel makers rose 118,200 mt or 3.27% on the week, but down 4.26% than a year ago, to 3.73 million mt in the week ended June 17.

Inventories of rebar across Chinese steelmakers and social warehouses stood at 10.66 million mt as of June 17, up 3.8% from a week ago. Stocks are up 8.7% from a year earlier.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on June 17, 2021

The company announced that its subsidiary Chongqing Wuling Manganese Industry, has received a notice on “stopping the usage of slag yard" from Xiushan Ecological Environment Bureau and an "Emergency Notice on the Disposal of Backward Production Technology and Equipment of Electrolytic Manganese Metal" from Xiushan Economic and Information Commission.

A total of 91 vessels carrying 13.15 million mt of iron ore arrived at major Chinese ports during June 6-12, SMM estimates. This was up 1.65 million mt from the previous week, and up 780,000 mt from the same period last year. For the same week, iron ore deliveries leaving Australian ports rose 1.54 million mt on a weekly basis to 17.77 million mt.

A total of 84 vessels carrying 13.15 million mt of iron ore arrived at major Chinese ports during June 6-12, SMM estimates. This was up 1.65 million mt from the previous week, and up 780,000 mt from the same period last year.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on June 16, 2021