[SMM Daily Coke & Coal Brief Comment] 20250623

[SMM Daily Briefing on Coal and Coke Markets]

Coking Coal Market:

The quoted price for low-sulphur coking coal in Linfen is 1,180 yuan/mt. The quoted price for low-sulphur coking coal in Tangshan is 1,200 yuan/mt.

In terms of raw material fundamentals, the recent tightening of environmental and safety inspections has led to a slight decline in coal mine production. However, downstream demand remains weak, and the wait-and-see sentiment in the market persists, resulting in significant pressure on coal mine sales. In summary, quoted prices for some coal types may continue to decline.

Coke Market:

The nationwide average price for premium metallurgical coke (dry quenching) is 1,440 yuan/mt. The nationwide average price for quasi-premium metallurgical coke (dry quenching) is 1,300 yuan/mt. The nationwide average price for premium metallurgical coke (wet quenching) is 1,120 yuan/mt. The nationwide average price for quasi-premium metallurgical coke (wet quenching) is 1,030 yuan/mt.

Mainstream steel mills in Hebei and Shandong provinces have proposed a price reduction of 50-55 yuan/mt for coke, marking the implementation of the fourth round of price cuts. In terms of supply, affected by environmental protection measures and the shift from profit to loss, some coke enterprises have experienced a decline in production enthusiasm, leading to voluntary production restrictions and a contraction in coke supply. In terms of demand, steel mills' purchase willingness remains low, and Tangshan has received emission reduction notices, requiring some steel mills to implement production cuts during specified periods, further suppressing coke demand. In summary, with the implementation of the fourth round of coke price cuts, the bearish sentiment in the market has been somewhat released. The coke market exhibits a pattern of weak supply and demand, and the coke market is expected to operate in the doldrums in the short term. [SMM Steel]