[SMM Daily Commentary on Coking Coal and Coke] 20260312

[SMM Daily Brief Review on Coking Coal and Coke]

Coking coal market:

Linfen low-sulphur coking coal was quoted at 1,450 yuan/mt. Tangshan low-sulphur coking coal was quoted at 1,460 yuan/mt.

Coking coal, coal mines maintained normal production, and coking coal supply was ample. Market sentiment remained wait-and-see, with most coal mine quotes temporarily stable. Some coal mines tentatively raised quotes slightly as market sentiment recovered, but downstream raw material procurement was mainly for rigid-demand restocking, with limited acceptance of high-priced coal varieties. In the short term, coking coal prices may fluctuate within a range.

Coke market:

The nationwide average price of first-grade metallurgical coke (dry quenching) was 1,735 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (dry quenching) was 1,595 yuan/mt. The nationwide average price of first-grade metallurgical coke (wet quenching) was 1,390 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (wet quenching) was 1,300 yuan/mt.

In terms of supply, coke producers had weak profits, and coupled with the relatively small room for concessions from coal mines, coke producer profits had not been fully repaired, leaving little willingness to increase output, so they maintained normal production. Demand side, the Two Sessions are about to end, and steel mills that had previously imposed voluntary production restrictions are expected to resume production, which may increase demand for coke. However, due to the slow destocking speed of finished steel, steel mills remained cautious toward coke and adopted a purchase-as-needed strategy. Overall, steel mills were cautious in procurement, and coupled with limited downside room in coke producer costs, the coke market may remain temporarily stable in the short term.[SMM Steel]