[SMM Coking Coal and Coke Daily Brief Commentary] 20260305

[SMM Daily Brief Commentary on Coking Coal and Coke]

Coking coal market:

Low-sulphur coking coal in Linfen was quoted at 1,570 yuan/mt. Low-sulphur coking coal in Tangshan was quoted at 1,450 yuan/mt.

Coking coal, mine production resumptions accelerated, and most mines had returned to normal production, with capacity and production continuing to be released. Coking coal supply became looser, but the pace of downstream demand recovery was clearly slow. Some mines saw inventory buildup. In the short term, coking coal prices were still expected to edge down slightly.

Coke market:

The nationwide average price of first-grade metallurgical coke (dry quenching) was 1,790 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (dry quenching) was 1,650 yuan/mt. The nationwide average price of first-grade metallurgical coke (wet quenching) was 1,440 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (wet quenching) was 1,350 yuan/mt.

In terms of supply, expectations for the implementation of a coke price cut were relatively strong, dampening coke producers’ production enthusiasm. Coke supply tightened slightly, but coke producers saw inventory buildup and were active in shipments. Demand side, the Two Sessions had convened, and some steel mills had carried out blast furnace maintenance. Daily average hot metal declined, weakening rigid demand for coke. Meanwhile, some steel mill profits were currently poor, and their willingness to seek profits from the raw material side was relatively strong. In summary, the first round of the coke price cut might be implemented this Friday, and the coke market might remain in the doldrums in the short term. [SMM Steel]