Coke Prices See Fifth Round of Cuts, Market Fundamentals Remain Bearish

SHANGHAI, Apr 27 (SMM) - Coking coal: Some coal mines in Shanxi were shut down following an accident, which will tighten supply slightly. However, as coking coal inventories continued to build up amid poor demand, coking coal prices are still under downward pressure.
Coke: Coke output continued to grow as lower costs boosted production enthusiasm. Only a few coking plants cut output. More steel mills are planning to carry out maintenance to cope with poor end demand and profit margins. Steel mills restocked coke only as needed. To sum up, coke inventories kept growing amid poor shipments. One steel mill in Hebei has already cut coke purchase prices by 100 yuan/mt, marking the fifth round of coke price cuts. SMM remains bearish towards future coke prices.