SMM Daily Review: Coke Market Stabilizes Amid Tightening Supply and Average Demand

[SMM Daily Review on Coal and Coke]

In terms of supply, after the tenth round of coke price cuts was implemented, most coke enterprises fell into losses, and the downside room for costs was limited. It has been difficult for coke enterprises to restore profitability, with some reducing operations, leading to a decline in coke supply. On the demand side, end-use demand has been average, pig iron production at steel mills has been slowly decreasing, daily coke consumption has declined, and coke inventories at steel mills remain at reasonable levels, resulting in steel mills primarily purchasing as needed. In summary, coke supply has started to tighten, cost support has begun to stabilize, and coupled with the market's continued positive expectations for policies from the Two Sessions, the coke market is likely to remain stable for the time being.