Seaborne metallurgical coke prices have continued to rise this week, but at a slower pace than in the last four weeks, because of production restrictions imposed on cokeries in some of China’s main producing regions.
Furthermore, stronger-than-expected steelmaking demand from the construction sector has boosted spot steel prices and margins for Chinese steel mills, pushing met coke prices higher.
Reportedly, Chinese sources predict that coke prices will not fall in this month. As a matter of fact, prices may see new highs as coke supply comes under pressure.
Although it is unlikely that the Chinese met coke market will correct downwards anytime soon, the continued steel production cutbacks are expected to hurt demand for met coke, pulling down prices in the long run.
PRICE ASSESSMENTS
The latest import offers for the 64% CSR met coke are assessed at around USD 385/MT FOB China, up by about USD 3/MT than the rates that prevailed in the week gone by.
Similarly, offers for the 62% CSR met coke have increased to around USD 376/MT FOB China.
For Indian buyers, these offers amount to USD 401/MT and USD 392/MT respectively on CNF India basis.
Source: CoalMint Research
Nevertheless, India’s domestically produced met coke prices have remained unchanged over the past week.
The current ex-works prices of the blast furnace grade are hovering around INR 26,000/MT (east coast) and between INR 27,000 and 28,000/MT (west coast).
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