[SMM Daily Brief on Coking Coal and Coke] 20260811

[SMM Coking Coal and Coke Daily Commentary]

Coking Coal Market:

Low-sulphur coking coal in Linfen was quoted at 2,000 yuan/mt.

For coking coal, mine production resumptions remain constrained by safety regulations, limiting supply growth. Downstream inventory is not high, with some restocking demand, providing support for coking coal prices. Online auction sentiment continued to recover, and the short-term coking coal market is likely to consolidate on a strong note.

Coke Market:

The nationwide average price of quasi-first-grade metallurgical coke – dry quenched was 1,925 yuan/mt.

Supply side, high costs and the third round of coke price cuts created a double squeeze, pushing most coke producers into losses. In response, they proactively made modest production cuts. However, some coke producers faced sluggish shipments, leading to a certain degree of inventory buildup. Demand side, a rebound in finished steel prices eased pressure on steel mills, and their production enthusiasm was moderate, leading to an increase in actual rigid demand for coke. Overall, with both supply and demand weak, the supply-demand imbalance in coke fundamentals eased somewhat. With strong cost support, the short-term coke market is likely to enter a temporary stable phase. [SMM Steel]