Home / Metal News / Aluminium / Imports of Petroleum Coke Dropped 14.94% MoM in June, and Are Likely to Fall Again in July
Imports of Petroleum Coke Dropped 14.94% MoM in June, and Are Likely to Fall Again in July
Jul 21, 2022 16:00CST
Source:SMM
To sum up, under the circumstances of normal supply in China, petcoke arriving at ports will fall 100,000-300,000 mt in July amid downstream purchases on rigid demand and poor industrial profitability.

SHANGHAI, Jul 21 (SMM) - According to customs data, China imported 1.33 million mt of petroleum coke in June, a month-on-month decrease of 14.94% and year-on-year drop of 9.37%. The imports totalled 6.84 million mt in the first six months in 22, up 4.28% YoY.

By specification, the imports of "uncalcined petroleum coke, sulfur content < 3%" stood at 306,400 mt, an increase of 84,300 mt compared with May. The imports of "other uncalcined petroleum coke" stood at 1.03 million mt, a drop of 318,400 mt MoM.

By supplying countries, the top three are the United States, Russian, and Venezuela, with import volumes reaching 501,100 mt, 253,600 mt, and 223,600 mt respectively. According to feedback from port traders, Venezuelan petcoke, which has recently attracted much market attention, will continue to arrive at Chinese ports in the future due to geopolitical and local production reasons, but most of them are not suitable for aluminium production.

SMM Comment: Since the beginning of this year, China imports of petroleum coke increased sharply from February to May due to domestic supply shortages and frenzying price hikes.

The import growth slowed down palpably in June, and traders also indicated that the trend may extend into July and August. The reasons vary. ① Most of the domestic equipment that was overhauled earlier resumed the production, and the operating rates have returned to the normal level of previous years. ②With the downstream demand unchanged, the prices of petroleum coke have already increased by about 50% compared with previous years. Such a high price has dampened the enthusiasm of carbon enterprises to stock up. ③Petroleum coke is mainly used in the aluminium industry. As aluminium prices dropped starting from March, the profit of manufacturers shrank. To sum up, under the circumstances of normal supply in China, petcoke arriving at ports will fall 100,000-300,000 mt in July amid downstream purchases on rigid demand and poor industrial profitability.

Import/Export

For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news