[SMM Coking Coal and Coke Daily Brief] 20260302

[SMM Daily Review on Coking Coal and Coke]

Coking Coal Market:

The quoted price of low-sulphur coking coal in Linfen is 1,570 yuan/mt, while in Tangshan, it is 1,450 yuan/mt.

In the coking coal sector, state-owned coal mines have largely resumed production, with private coal mines gradually returning to work. Supply is on the rise, yet downstream purchasing demand has not been released, resulting in weak enthusiasm for coking coal procurement. Spot market transactions remain sluggish, with most coal mines failing to secure new orders. In the short term, coking coal prices may be under pressure, with expectations of price reductions.

Coke Market:

The nationwide average price for first-grade metallurgical coke (dry quenching) stands at 1,790 yuan/mt. Quasi-first-grade metallurgical coke (dry quenching) averages 1,650 yuan/mt nationwide. First-grade metallurgical coke (wet quenching) has a nationwide average price of 1,440 yuan/mt, while quasi-first-grade metallurgical coke (wet quenching) averages 1,350 yuan/mt nationwide.

In terms of supply, the average profit per ton of coke for coking enterprises hovers around the break-even point, with normal production levels. However, downstream wait-and-see sentiment and some steel mills controlling arrivals have slowed the pace of shipments for certain coking enterprises, leading to a continuous accumulation of coke inventory. On the demand side, the current pace of steel mills' production resumptions is slow, and their coke inventories are at reasonable levels. Additionally, the accumulation of finished steel inventory during the Chinese New Year has continuously compressed steel mill profits, leading them to purchase coke as needed. In summary, steel mills' willingness to seek profits from the raw material side is growing, and the recent cost support for coke may weaken. Consequently, the market currently exhibits a strong wait-and-see sentiment, with the short-term coke market expected to be in the doldrums and face price reduction expectations. [SMM Steel]