SHANGHAI, Sep 24 (SMM) - According to the customs, China's imports of petroleum coke reached 1.16 million mt in August, an increase of 190,100 mt or 19.64% over July, up 12.7% YoY.
The top three exporting countries in August were the United States, Saudi Arabia and Canada (based on the import volume). The United States exported 524,300 mt of petroleum coke in August, of which high-sulphur petroleum coke (401,600 mt) accounted for almost 80% of the total exports. Saudi Arabia was in second place, with exports reaching 225,300 mt of high sulphur petroleum coke. Canada, though in third place, merely exported 77,000 mt, with high sulphur petroleum coke being the only export.
According to SMM, normally, the cycle of foreign petroleum coke imports is about 45 days, which means that the price of petroleum coke arriving at the port in August is the petroleum coke purchased through competitive bidding in June. The prices of petroleum coke have entered a new round of price hike in September. Such a situation will create cost pressures on the downstream sector, and this is when overseas petroleum coke, which is slightly lower in price in comparison, is highly welcomed.
Since October is about to usher in, the importers of petroleum coke need to consider a lot of scenarios, such as the beginning of the heating season in October. However, in the context of strict energy consumption control, the possibility remains that the enterprises may suspend or reduce production. There is also the environmental protection issue on the back of the upcoming Winter Olympics. For example, imports of petroleum coke from Russia fell significantly in August as it is more polluting. Therefore, the subsequent environmental issues will be particularly important in the context of the policy of carbon neutrality.