[SMM Daily Coke & Coal Brief Comment] 20250716

[SMM Coking Coal & Coke Daily Comment]

Coking Coal Market:

Linfen low-sulphur coking coal quoted at 1,210 yuan/mt. Tangshan low-sulphur coking coal quoted at 1,230 yuan/mt.

In terms of raw material fundamentals, production at some mines has yet to resume, and mine supply remains constrained. With confirmed coke price increases, market sentiment in the coking coal sector has been further boosted. Some coke producers have restocked their inventories, driving up prices of certain coal types. Overall, the short-term coking coal market will hold up well.

Coke Market:

The nationwide average price for premium metallurgical coke (dry quenching) stands at 1,440 yuan/mt. For premium metallurgical coke (wet quenching), the nationwide average is 1,120 yuan/mt. The nationwide average for quasi-premium metallurgical coke (dry quenching) is 1,300 yuan/mt, while the wet quenching variant averages 1,030 yuan/mt.

Steel mills in Hebei and Shandong have accepted the first round of coke price increases at 50-55 yuan/mt, effective July 17. On the supply side, coke price increases await implementation while downstream purchase activity remains robust, with coke inventories at coke producers continuing to pull back. On the demand side, hot metal production remains at highs, creating rigid demand for coke. With moderate steel mill profit margins, stable coke procurement continues. In summary, coke enjoys strong cost support, and recovering downstream finished steel demand—coupled with urging deliveries from some steel mills—indicates sustained fundamental improvements. The short-term coke market may continue to hold up well.[SMM Steel]