[SMM Daily Review of Coal and Coke] 20250123

【SMM Coking Coal and Coke Daily Review】

Coking Coal Market:

The price of low-sulfur primary coking coal in Linfen is 1,400 yuan/mt. The price of low-sulfur primary coking coal in Tangshan is 1,500 yuan/mt.

Raw material fundamentals: Coal mines have entered the holiday period, leading to a gradual decline in production. Additionally, heavy snow and cold weather may hinder transportation, causing disruptions in supply. However, with shrinking profits, coke producers have reduced their enthusiasm for raw material procurement, opting for purchasing as needed. In summary, coking coal prices are expected to remain stable before the Chinese New Year.

Coke Market:

The nationwide average price of Grade I metallurgical coke (dry quenching) is 1,845 yuan/mt. The nationwide average price of Quasi-Grade I metallurgical coke (dry quenching) is 1,705 yuan/mt. The nationwide average price of Grade I metallurgical coke (wet quenching) is 1,490 yuan/mt. The nationwide average price of Quasi-Grade I metallurgical coke (wet quenching) is 1,408 yuan/mt.

In terms of supply, coke producers are experiencing shrinking profits, with some incurring losses. However, these losses remain within a tolerable range for coke producers, and overall production levels are being maintained at previous levels. Coke inventories at coke plants continue to accumulate. On the demand side, with the Chinese New Year approaching, the market is gradually entering a holiday mode, leading to sluggish demand. The fundamentals of the coke market remain in a loose state. In summary, the coke market is expected to remain stable in the short term. 【SMM Steel】