- China cuts met coke prices for 10th straight round
- India’s imported met coke bookings remain limited
India’s domestic met coke prices increased this week. As per BigMint’s assessment, 25-90 mm blast furnace (BF) grade coke prices stood at INR 34,500/tonne (t) exw-Jajpur, while Gandhidham’s tags were recorded at INR 32,000/t exw, up by INR 800/t w-o-w. The absence of active import bookings and lower inventories of imported met coke at Indian ports lifted domestic offers.
Deals at higher offers are yet to gain momentum, cited sources. Domestic merchant coke plants have yet to resume production due to uncertainty over the quantitative restrictions policy beyond June. Without long-term visibility, they are reluctant to incur significant costs for restarting operations.
Factors driving met coke prices
Imported met coke bookings remain limited: Imported met coke bookings in India remained limited amid the ongoing quantitative restrictions.
China announces 10th straight round of met coke price cuts: On 25 February, major Chinese steelmakers decided to cut coke purchase prices by RMB 50-55/t, intensifying market pressure. This marks the tenth consecutive price reduction since late October, with a total decline of RMB 500-550/t, reflecting sustained weakness in market sentiment.
In recent times, China’s metallurgical coke market has been facing a supply-demand imbalance, with ample spot availability despite production cuts due to falling prices. Coke producers in key hubs such as Inner Mongolia and Shanxi have been reducing output but are still struggling with weak demand from steelmakers.
Australian coking coal prices drop: Australian premium hard coking coal (PHCC) was assessed at $187/t FOB, falling by $3/t w-o-w. Lower bids and speculation regarding steel production cuts in China resulted in thin trading activity, which weighed on prices.
Indian pig iron tags inch up: Steel-grade pig iron prices in Durgapur, India, rose by INR 1,050/t w-o-w to INR 33,850/t exw.
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