[SMM Coking Coal and Coke Daily Brief] 20260618

[SMM Daily Coking Coal and Coke Review]

Coking Coal Market:

Linfen low-sulphur coking coal is quoted at 2,040 yuan/mt.

On the coking coal front, coal mine production resumptions are slow, and production remains low, with relatively insufficient supply. Coupled with intensive safety inspections in June, the supply tightness persists. Driven by news of the eighth round of coke price increases, downstream coke and steel enterprises and traders are actively purchasing. Coal mine inventories are at low levels, leading to undersupply. Coking coal prices are expected to rise further, with some low-sulphur coking coal in Linfen already rising by another 60 yuan/mt.

Coke Market:

The nationwide average price of quasi-first-grade metallurgical coke (coke dry quenching) is 1,980 yuan/mt.

In terms of news, some steel mills have already accepted the eighth round of coke price increases, with wet quenched coke up by 50 yuan/mt and dry quenched coke up by 55 yuan/mt, effective June 22. Supply side, affected by ongoing safety inspections in Shanxi, coking coal supply remains tight, and the increase in coking coal prices has been consistently outpacing that of coke. Most coke producers are still operating at a loss, and these producers are proactively intensifying production restrictions to reduce losses. As a result, coke supply is declining in the short term. Demand side, steel mill operating rates remain high, and affected by the tight coke supply, steel mills' coke inventory replenishment has fallen short of expectations. There is still restocking demand for coke. In summary, the eighth round of coke price increases has been proposed. Supported by multiple positive factors, it is widely expected to be implemented, and the coke market will hold up well in the near term. [SMM Steel]