[SMM Coking Coal and Coke Daily Brief Review] 20260724

[SMM Daily Coking Coal and Coke Brief Commentary]

Coking Coal Market:

The quoted price for low-sulphur coking coal in Linfen is 2,020 yuan/mt.

Regarding coking coal, strict safety supervision remains in place, with halted mines resuming production more slowly than expected, creating strong support as the supply side is under pressure to secure output. However, the first round of coke price cuts has been implemented, and weak downstream transmission has led to a strong wait-and-see sentiment. New order signings at coal mines have plummeted, and failed online auctions have been frequent. Amid the tug-of-war between bullish and bearish factors, short-term coking coal prices are highly likely to remain in the doldrums.

Coke Market:

The nationwide average price for dry-quenched quasi-first-grade metallurgical coke is 2,035 yuan/mt.

Supply side, after the implementation of the first round of coke price cuts, most coking enterprises have fallen into losses. However, the market expects further downside room for coking coal prices, so the overall operating rate of coking enterprises remained stable. This, combined with coking enterprises proactively slowing down shipments, has led to a sustained inventory buildup at plants, highlighting supply-side pressure. Demand side, downstream end-use demand was generally weak. Blast furnaces at steel mills entered a concentrated maintenance cycle, leading to a more conservative procurement strategy and strict controls on incoming coke volumes. Overall, the coke supply-demand pattern has loosened further, making short-term prices more likely to fall than rise, and a second round of price cut expectations is widespread in the market. [SMM Steel]