[SMM Survey Daily Briefing] 20260114

[SMM Daily Brief Review on Coal and Coke]

Coking Coal Market:

The quoted price of low-sulphur coking coal in Linfen is 1,500 yuan/mt. The quoted price of low-sulphur coking coal in Tangshan is 1,480 yuan/mt.

In terms of raw material fundamentals, most coal mines maintain normal production. Recently, the hot metal production of steel mills has increased, and there are signs of recovery in market sentiment. The willingness of downstream buyers to purchase and restock has strengthened, leading to improved coal mine shipments. The failed auction rate in online bidding has dropped to a low level. In the short term, coking coal prices are expected to be generally stable with slight rise.

Coke Market:

The nationwide average price of first-grade metallurgical coke (dry quenching) is 1,735 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (dry quenching) is 1,595 yuan/mt. The nationwide average price of first-grade metallurgical coke (wet quenching) is 1,390 yuan/mt. The nationwide average price of quasi-first-grade metallurgical coke (wet quenching) is 1,300 yuan/mt.

In terms of supply, the coking costs of coke enterprises have stabilized, coupled with bullish market sentiment, leading to good production enthusiasm among coke enterprises. Currently, sales are normal, and the coke inventory of coke enterprises has begun to gradually undergo destocking. On the buyer side, blast furnaces that underwent maintenance in steel mills earlier have resumed normal production, increasing the rigid demand for coke. Some steel mills have released restocking demands, but market expectations suggest limited upside room for hot metal prices. Additionally, the coke inventory of most steel mills is at a medium level, limiting the restocking space. In summary, the loose fundamental situation in the coke market has eased, and the short-term coke market is expected to remain stable for the time being. [SMM Steel]