Coking Coal Prices Face Downward Pressure Amid Market Volatility: SMM Commentary

[SMM Daily Commentary: Futures Market Experiences Strong Volatility While Spot Market Maintains Stable Transactions]

Linfen's low-sulfur prime coking coal is quoted at 1,750 yuan/ton. Tangshan's low-sulfur prime coking coal is quoted at 1,790 yuan/ton.

On the supply side, coal mine production remains stable, and the supply of coking coal continues to be ample. On the demand side, following the implementation of the fifth round of coke price cuts, downstream coking plant procurement has further tightened, traders remain cautious, and demand for coking coal continues to be sluggish. Looking ahead, there are still expectations of further price reductions for downstream coke, and the losses of coking enterprises show a tendency to widen further. Therefore, coking coal prices still face significant downward pressure. Coupled with the weakness in the fundamental factors of coking coal itself, prices are expected to continue experiencing weak volatility in the short term.