Chinese coke prices increase
2024-04-29 08:34:33 [Print]
BEIJING (Asian Metal) 29 Apr 24 - Prices of coke witnessed a further markup of RMB100-110/t (USD14-15/t) late last week after the rise of RMB100-110/t (USD14-15/t) early last week, and participants anticipate another increase after the May Day holiday seeing the active purchasing attitudes of steel mills. The current prevailing prices of metallurgical coke A13 S0.7 stand at RMB1,900-2,300/t (USD262-317/t) D/P. Insiders forecast firm prices of coke in the coming several days seeing the approach of the May Day holiday.
"The most competitive price for wet quenching metallurgical coke A13 S0.7 stands at RMB1,910/t (USD264/t) delivered D/P at present, while we last bought 3,000t of the material at RMB1,800/t (USD248/t) last Thursday," noted the purchasing official from a steel mill in Hebei, who bought 5,000t of coke at RMB1,910/t (USD264/t) on Sunday. According to him, they need to enlarge inventories for the consumption during the May Day holiday. Besides, prices of upstream coal keep rising, with the markup of around RMB300/t (USD41/t) in recent two weeks, together with the spirally upward price trend of downstream steel, encouraging coking plants to lift prices actively. "Though we keep active in purchasing coke, we just hold 21,000t of stocks now, down from 25,000t in the middle of the month," stated the source. In the meantime, he disclosed that some coking plants show intention to lift prices of coke further by RMB100-110/t (USD14-15/t) on April 29, but he thinks prices may finally increase after the holiday and keep stable before it.
With an annual consumption capacity of 2 million tons, the steel mill predicts to consume 90,000t of coke in April, in line with March. It approximately used 250,000t of coke in the first quarter of 2024 and 1.2 million tons in 2023.
The sales official from a coking plant in Shandong quotes RMB2,300/t (USD317/t) EXW D/P without concession for dry quenching metallurgical coke A13 S0.7, while could accept the price as low as RMB2,190/t (USD302/t) last Thursday. Attributing the price rise to the bullish atmosphere in the market, the source disclosed that the continuous price increases of coal and the improving market of steel strengthen the confidence of coke market participants to some degree. In addition, they struggle at the edge of suffering losses and keep eager to transfer cost pressures to steel mills. "We sold 3,000t of coke at RMB2,300/t (USD317/t) easily on Sunday, and most regular steel mills hold low stocks. Some peers even plan to require a further price increase of coke on Monday," added the source, believing it takes time for steel mills to accept the continuous price increases and prices of coke would keep firm in the following several days.
Reporting an annual production capacity of 1.16 million tons, the coking plant would produce 60,000t of coke in April, up from 50,000t in March. It recorded the output of approximately 140,000t in the first three months of 2024 and 930,000t in 2023, without any inventories for the moment.
"The most competitive price for wet quenching metallurgical coke A13 S0.7 stands at RMB1,910/t (USD264/t) delivered D/P at present, while we last bought 3,000t of the material at RMB1,800/t (USD248/t) last Thursday," noted the purchasing official from a steel mill in Hebei, who bought 5,000t of coke at RMB1,910/t (USD264/t) on Sunday. According to him, they need to enlarge inventories for the consumption during the May Day holiday. Besides, prices of upstream coal keep rising, with the markup of around RMB300/t (USD41/t) in recent two weeks, together with the spirally upward price trend of downstream steel, encouraging coking plants to lift prices actively. "Though we keep active in purchasing coke, we just hold 21,000t of stocks now, down from 25,000t in the middle of the month," stated the source. In the meantime, he disclosed that some coking plants show intention to lift prices of coke further by RMB100-110/t (USD14-15/t) on April 29, but he thinks prices may finally increase after the holiday and keep stable before it.
With an annual consumption capacity of 2 million tons, the steel mill predicts to consume 90,000t of coke in April, in line with March. It approximately used 250,000t of coke in the first quarter of 2024 and 1.2 million tons in 2023.
The sales official from a coking plant in Shandong quotes RMB2,300/t (USD317/t) EXW D/P without concession for dry quenching metallurgical coke A13 S0.7, while could accept the price as low as RMB2,190/t (USD302/t) last Thursday. Attributing the price rise to the bullish atmosphere in the market, the source disclosed that the continuous price increases of coal and the improving market of steel strengthen the confidence of coke market participants to some degree. In addition, they struggle at the edge of suffering losses and keep eager to transfer cost pressures to steel mills. "We sold 3,000t of coke at RMB2,300/t (USD317/t) easily on Sunday, and most regular steel mills hold low stocks. Some peers even plan to require a further price increase of coke on Monday," added the source, believing it takes time for steel mills to accept the continuous price increases and prices of coke would keep firm in the following several days.
Reporting an annual production capacity of 1.16 million tons, the coking plant would produce 60,000t of coke in April, up from 50,000t in March. It recorded the output of approximately 140,000t in the first three months of 2024 and 930,000t in 2023, without any inventories for the moment.
