The second round of coke price cuts has been implemented. The coke procurement prices of large steel mills in Hebei have been reduced, with a decrease of 50 yuan/mt for wet quenched coke and 55 yuan/mt for coke dry quenching. The specific situation after adjustment is as follows: Grade 1 wet quenched coke (A≤12.5, S≤0.7, CSR≥65, MT≤7) is priced at 1,410 yuan/mt; Grade 1 coke dry quenching (A≤12.5, S≤0.7, CSR≥65, MT≤0) is priced at 1,625 yuan/mt. The above prices are tax-inclusive, delivered to the mill and payable upon acceptance, effective from 0:00 on May 28, 2025.

Today, rebar futures fluctuated downward, closing at 2964, down 0.77% from the previous trading day. In terms of spot prices, spot quotes in most regions remained stable, with only a few regions experiencing a decline of around 10-20 yuan/mt. Trading volume throughout the day improved slightly compared to yesterday, mainly driven by low-priced resources. From a fundamental perspective, on the supply side, according to the SMM survey, due to the significant decline in finished steel prices in recent days, the economic benefits of electric furnace mills decreased on a WoW basis, prompting several steel mills to reduce their operating hours. However, as one electric furnace mill resumed production as planned, the national electric furnace operating rate this week reached 39.14%, up 0.68% WoW. Blast furnace steel mills, with still existing profit margins, maintained strong production enthusiasm, and the overall supply pressure remained high. On the demand side, the demand for construction materials is currently in the transition phase between the "off-season and peak season," showing insufficient resilience, with market purchases primarily driven by rigid demand. Overall, the current supply-demand imbalance is intensifying, and market sentiment is unlikely to improve. It is expected that spot prices of construction materials will consolidate in the short term.

The PMI for domestic steel downstream sectors stood at 43.31 points in February, down 3.34 points MoM and 9.87 points YoY.