【SMM Daily Review on Coal and Coke】
Coking Coal Market:
The price of low-sulfur primary coking coal in Linfen is 1,400 yuan/mt. The price of low-sulfur primary coking coal in Tangshan is 1,500 yuan/mt.
Fundamentally, coal mines are gradually resuming production, leading to an increase in daily coking coal supply. The online auction failure rate remains high, which negatively impacts coking coal prices. Additionally, some steel mills in Hebei have proposed the eighth round of coke price cuts, further suppressing coking coal prices. In summary, coking coal prices are expected to fluctuate downward next week.
Coke Market:
The nationwide average price of Grade I metallurgical coke (dry quenching) is 1,845 yuan/mt. The nationwide average price of Quasi-Grade I metallurgical coke (dry quenching) is 1,705 yuan/mt. The nationwide average price of Grade I metallurgical coke (wet quenching) is 1,490 yuan/mt. The nationwide average price of Quasi-Grade I metallurgical coke (wet quenching) is 1,408 yuan/mt.
In terms of supply, coke enterprises maintain stable operations, but their coke inventories have significantly accumulated after the Chinese New Year holiday, resulting in an overall loose supply. On the demand side, some steel mills still have maintenance plans after the holiday, and their coke inventories remain at safe levels, leading to purchasing as needed. In summary, the coke market fundamentals are loose, negatively impacting coke prices. Coke prices are expected to fluctuate downward next week, with the eighth round of coke price cuts about to be implemented. 【SMM Steel】
