SMM, June 19:
This week, the low-sulphur petroleum coke market remained stable, with an average market price of 3,550 yuan/mt, up 0.6% MoM. On the cost side, prices of upstream raw materials were relatively stable, providing strong support for the market price of low-sulphur petroleum coke. On the supply and demand side, as the inventory of raw materials previously stockpiled by prebaked anode and anode producers was gradually depleted, downstream demand was effectively boosted. The previous situation of supply surplus significantly improved, leading to a successful stop in the price decline and a rebound in low-sulphur petroleum coke prices this week. Looking ahead, it is expected that downstream demand will remain stable in the subsequent period. The operating rate of the anode industry is likely to stay stable, and the demand for low-sulphur petroleum coke from anode producers will also maintain a steady trend. Therefore, the price of low-sulphur petroleum coke may continue to refuse to budge on prices in the future.
The market price of oil-based green needle coke was under pressure, declining by 0.9% MoM due to the combined effects of sustained weak downstream demand and ample market supply. However, some producers have gradually entered shutdown and maintenance mode, which has alleviated the supply surplus issue to a certain extent. Meanwhile, the tense geopolitical situation overseas has provided support on the cost side. Amidst supply contraction and cost support, the decline in the price of oil-based green needle coke this week has continued to narrow. Looking ahead, as the capacity of oil-based green needle coke enters the shutdown and maintenance period, it is expected to increase further, and the market pattern of oversupply will continue to improve. It is anticipated that the price of oil-based green needle coke will gradually stabilize in the future.
SMM New Energy Research Team
Wang Cong 021-51666838
Ma Rui 021-51595780
Feng Disheng 021-51666714
Lv Yanlin 021-20707875
Zhou Zhicheng 021-51666711
Zhang Haohan 021-51666752
Wang Zihan 021-51666914
Wang Jie 021-51595902
Xu Yang 021-51666760
Xu Mengqi 021-20707868
Hu Xuejie 021-20707858
