[SMM coal and coke daily briefing] 20250611

[SMM Daily Commentary on Coking Coal and Coke]

Coking Coal Market:

In Linfen, the quoted price for low-sulphur coking coal is 1,180 yuan/mt. In Tangshan, the quoted price for low-sulphur coking coal is 1,230 yuan/mt.

In terms of raw material fundamentals, some mines have halted production, while most mines are operating normally. Downstream purchasing enthusiasm is weak, with fewer new orders for mines. The market still expects prices to decline, and the purchasing atmosphere is generally lackluster, with a wait-and-see attitude prevailing. Against the backdrop of the traditional consumption off-season for steel demand, coking coal prices will continue to face downward pressure in the short term.

Coke Market:

The nationwide average price for first-grade metallurgical coke (dry quenching) is 1,495 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke (dry quenching) is 1,355 yuan/mt. The nationwide average price for first-grade metallurgical coke (wet quenching) is 1,170 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke (wet quenching) is 1,080 yuan/mt.

In terms of supply, some coking enterprises have slightly cut production due to losses and inventory pressure, but most coking enterprises have seen profit recovery, with production remaining stable for the time being. In terms of demand, steel mills' coke inventory is at a medium-to-high level, and the finished steel market is significantly affected by the off-season. Steel mills maintain a cautious purchasing attitude and are controlling the arrival of goods. In summary, the cost support for coke has further loosened, and downstream demand has weakened. Coke prices may continue to face downward pressure in the short term. [SMM Steel]