[SMM Daily Coke and Coal Brief] 20250321

[SMM Daily Coking Coal and Coke Review]

Coking Coal Market:

Low-sulphur coking coal in Linfen was quoted at 1,300 yuan/mt. Low-sulphur coking coal in Tangshan was quoted at 1,390 yuan/mt.

In terms of fundamentals, coking coal production from mines remained stable, while washing plants showed low enthusiasm for operations, maintaining current inventory levels. Downstream coke and steel enterprises continued to deplete their own coking coal inventories. After some coal types became more cost-effective following price reductions, purchasing activity increased, with companies starting to procure moderately. Mine sales improved, and online auctions showed mixed performance. In summary, mine sales have improved, and with no further decline in coke prices, market sentiment has become less bearish. Coking coal prices may stabilize next week.

Coke Market:

The nationwide average price of premium metallurgical coke (dry quenched) was 1,625 yuan/mt. The nationwide average price of secondary metallurgical coke (dry quenched) was 1,485 yuan/mt. The nationwide average price of premium metallurgical coke (wet quenched) was 1,290 yuan/mt. The nationwide average price of secondary metallurgical coke (wet quenched) was 1,200 yuan/mt.

In terms of supply, most coke producers were operating at a slight profit or a small loss, which was within an acceptable range. Production enthusiasm among coke producers was moderate, and coke supply remained stable. On the demand side, recent improvements in steel mill profits led to active resumption of production, increasing daily coke consumption and enhancing the willingness to restock coke. The practice of controlling arrivals has largely ceased. In summary, the supply-demand imbalance for coke has eased, and cost support has started to solidify. The coke market is expected to remain stable with a weak trend next week. [SMM Steel]