Chinese metallurgical coke export prices have continued on a northward trajectory throughout the month of December on the back of a positive turnaround in market sentiment across various important steelmaking regions, including the provinces of Hebei, Shandong and Rizhao.
Alongside healthy steel mill profit margins and the clampdown on coke production seen in recent months, the bullish sentiments were also supported by the news of plant idling in North China’s Tangshan city, which’s the country’s top coke-producing hub.
As of this week, China’s domestic met coke market has also witnessed the wide acceptance of a third round of price increase by USD 7.15/MT (Yuan 50/MT), marking a total price uptick of USD 21.44 (Yuan 150) since late November.
Several major coke producers concurred with this price hike as the domestic met coke market typically firms up during winter time, when supply gets tightened amid output cuts.
Last week, leading steelmakers in North and East China bowed to pressure from merchant met coke producers and conceded to pay higher prices for their coke procurement. Since late November, the domestic met coke producers have succeeded in persuading steelmakers to accept increases in coke prices, as reported by Mysteel—a China-centric insight and global metal markets intelligence providing company.
PRICE ASSESSMENTS
Chinese metallurgical coke export prices for the 64% CSR and the 62% CSR grades are assessed at around USD 288.00/MT and USD 276.00/MT FOB China respectively.
Indian metallurgical coke import prices for the 64% CSR and the 62% CSR grades amount to USD 278.00/MT and USD 260.00/MT respectively on CNF India basis.
Currently, India’s domestically produced metallurgical coke prices for the blast furnace grade are hovering at around INR 24,000/MT (east coast) and INR 23,750/MT (west coast).
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