[SMM Coking Coal and Coke Daily Briefing] 20260127

[SMM Daily Coking Coal and Coke Briefing]

Coking Coal Market:

Low-sulphur coking coal in Linfen was offered at 1,650 yuan/mt. Low-sulphur coking coal in Tangshan was offered at 1,450 yuan/mt.

Raw material fundamentals: Entering February, private mines will gradually enter the holiday period, and state-owned mines also have holiday arrangements. Mines are ensuring safe production, and production is expected to decrease. However, recent steel prices have been weak, market enthusiasm has cooled, and mine order-taking has declined, with an increase in price reductions for online auctions. In summary, coking coal prices may fluctuate in the short term.

Coke Market:

The nationwide average price for first-grade metallurgical coke - dry quenching was 1,735 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke - dry quenching was 1,595 yuan/mt. The nationwide average price for first-grade metallurgical coke - wet quenching was 1,390 yuan/mt. The nationwide average price for quasi-first-grade metallurgical coke - wet quenching was 1,300 yuan/mt.

Supply side, coking costs tend to stabilize, but most coking enterprises are still in loss, and production enthusiasm is average. Demand side, steel mills have rigid demand for coke, but end-use consumption of finished steel is poor and affected by the environmental protection policy, hot metal production is more likely to decrease than increase. Current market sentiment is mainly wait-and-see, with most steel mills purchasing coke as needed. In summary, steel and coking enterprises may continue to be in a game state in the short term.[SMM Steel]