China: Coke production falls 2% m-o-m in Oct’25

• Rising coking coal prices lift coke production costs
• Producers face losses despite higher selling prices

Mysteel Global: China’s output of all types of coke totalled 41.92 tonnes (t) in October, lower by a tiny 1.5% from September, the latest data from China’s National Bureau of Statistics (NBS) showed.

While the NBS provided no commentary regarding its findings, Mysteel Global observed that in October, the reduction in output of metallurgical coke — a major type accounting for about 87% of total coke output, as calculated by the NBS — doubtlessly contributed to the overall decline last month.

According to Mysteel’s survey of 230 independent met coke makers across the country, their average output during the month presented a steady fall — from the 531,200 tonnes/day (t/d) recorded in late September to 513,000 t/d during the week to 29 October — and reflected the heavy cost pressures weighing on their operations.

As reported, supply disruptions in China’s major coal mining areas, caused by stringent safety inspections, sent domestic coking coal prices surging last month, driving up the coke makers’ production costs.

During the month, the makers had lifted their selling prices of stamp-charged met coke products and top-charged ones by RMB 100-110/t ($14-15.4/t) and RMB 120-130/t, respectively. However, the sharp rises in their operating costs largely eroded the coke makers’ profits, leading to the continuous decline in their production.

Mysteel’s survey of 30 merchant coke makers nationwide showed that throughout most of October, they kept losing money on coke sales, with their average loss hitting RMB 41/t in late October, the largest loss since early August. As of 30 October, the coke producers were still losing RMB 32 on each tonne of coke they sold, according to Mysteel’s data.

Despite the m-o-m decline, China’s coke production in October still rose by 1.5% from the year-ago level. During January-October, China’s cumulative coke production totalled 419.07 million tonnes, up 3.3% from the same period last year, according to the NBS.

Note: This article has been written in accordance with a content exchange agreement between Mysteel Global and BigMint.