[SMM Daily Review on Coal and Coke] 20250219

【SMM Daily Review on Coal and Coke】

Coking Coal Market:

The price of low-sulfur primary coking coal in Linfen was 1,400 yuan/mt, while in Tangshan it was 1,450 yuan/mt.

Fundamentally, most coal mines maintained normal production, and coking coal supply remained at a high level. However, end-use demand for finished steel products was still in the verification phase, and downstream coke and steel enterprises, with average profitability, mainly consumed previous inventories and showed a passive attitude toward coking coal procurement. In summary, the coking coal market continued to exhibit a loose pattern, and short-term coking coal prices may remain stable with a weak trend.

Coke Market:

The nationwide average price of Grade I metallurgical coke (dry quenching) was 1,735 yuan/mt, while quasi-Grade I metallurgical coke (dry quenching) averaged 1,595 yuan/mt. The nationwide average price of Grade I metallurgical coke (wet quenching) was 1,390 yuan/mt, and quasi-Grade I metallurgical coke (wet quenching) averaged 1,300 yuan/mt.

In terms of supply, coke enterprises slightly reduced their operating rates but still maintained a high level, ensuring sufficient coke supply. Additionally, due to passive procurement from downstream sectors, inventories at some coke enterprises accumulated significantly. On the demand side, end-use demand recovered slowly and remained in the verification phase, with limited growth in pig iron production. Steel mills primarily consumed their own coke inventories. In summary, after the ninth round of price reductions was implemented, the coke market remained relatively loose, and this week, coke prices are expected to remain stable with a weak trend. 【SMM Steel】