BigMint’s premium hard coking coal (PHCC) index was assessed at $203/tonne (t) CNF Paradip, India, on 15 February 2025 against $207/t CNF on 31 January. The index has fallen by $4 against the last assessment.
An Indian mill source commented, “We have raised an inquiry for PHCC and expect clarity by Monday. Our target price is around $200/t CNF India.”
There is a market conflict, with FOB Australia at $190/t and lower CFR China prices. Traders are attempting to offer at $200 FOB, but buyers are yet to accept, sources highlighted.
Rationale:
BigMint’s coking coal index is derived using data points, i.e., trades, offers, and bids. No deal has been captured during the publishing window, hence given 0% weightage.
Eleven (11) firm offers, bids, and indicative prices were heard. Out of this, nine (9) were considered for price calculation and given 100% weightage.
Factors impacting coking coal import prices
Australian coking coal prices inch up – Australian coking coal prices have recovered after remaining stable earlier in the month. PHCC was assessed at $190/t FOB Australia against $186/t FoB seen in end Jan’25. Reportedly, seasonal disruptions from Australia have supported offers in the last couple of days.
Indian met coke prices stabilise – India’s domestic met coke prices remained range-bound this week. As per BigMint’s assessment, 25-90 mm blast furnace (BF) grade coke prices stood unchanged w-o-w at INR 34,000/tonne (t) exw-Jajpur, while Gandhidham’s tags were recorded at INR 32,000/t exw, up by INR 500/t w-o-w. Imported met coke bookings in India remained limited amid the ongoing quantitative restrictions. However, price indications for material with 64% coke strength after reaction (CSR) were at around $250/t CFR India.
China sees 8th straight round of coke price cuts- China’s metallurgical coke market saw its eighth consecutive price cut on 10 February, an RMB 400-440/t drop since October. Despite a mild recovery in steel production, weak demand and high inventories persist. Coke producers face losses, while steelmakers have limited purchases. Coking coal prices also fell amid sluggish sales, with further declines expected before market stabilisation.
Outlook
Seasonal disruptions due to weather-related disturbances in Australia and extended shipping times from alternative sources like the US may lift offers. However, buyer acceptance remains a concern amid weak steel prices.
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