[SMM Survey Daily Briefing] 20260107

[SMM Coal and Coke Daily Briefing]
Coking Coal Market:
The offer price for low-sulphur coking coal in Linfen was 1,500 yuan/mt. The offer price for low-sulphur coking coal in Tangshan was 1,480 yuan/mt.
Fundamentals for raw materials, post-holiday, most mines operated normally, and supply saw an increase. With expectations for a fifth round of coke price reductions, downstream purchases were cautious, new orders signed by mines decreased, and short-term spot coking coal prices may operate stable with a strengthening trend.
Coke Market:
The nationwide average price for first-grade metallurgical coke - dry quench was 1,735 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke - dry quench was 1,595 yuan/mt. The nationwide average price for first-grade metallurgical coke - wet quench was 1,390 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke - wet quench was 1,300 yuan/mt.
Supply side, coking costs for coke enterprises declined, but most coke enterprises still incurred losses, leading to varying degrees of production restrictions, and coke production slightly decreased. Demand side, the four rounds of coke price reductions, coupled with a significant rise in finished steel prices today, led to a recovery in steel mill profits. Some steel mills had plans to resume blast furnace production, increasing rigid demand for coke, and the willingness to suppress coke prices decreased. In summary, the short-term spot coke market may operate stable with a weakening trend, and expectations for price reductions weakened.[SMM Steel]