In the first half of December 2025, the overall trading atmosphere in the anthracite market was poor. Downstream coal-using enterprises controlled the pace of anthracite procurement, with strong price-cutting sentiment. Coal enterprises had poor sales at the pithead, and inventory at the pithead continued to accumulate, putting pressure on coal prices to decline. In the second half of the month, the anthracite market may see both weak supply and demand, with market transactions mainly driven by a small amount of rigid demand. The inventory level at the pithead of coal enterprises may fluctuate at a high level, and coal prices may continue to be weak.
In the first half of December, the anthracite coal market saw poor trading activities. Downstream sectors continued to control the pace of their necessary anthracite procurement, leading to sluggish sales at coal mines, and the stockpiles at the mines continued to accumulate to a historically high level. As of December 18, the total raw coal stockpiles at 49 major coal mines in the Jincheng area of Shanxi tracked and counted by Zhuochuang Information reached 1.6931 million tons, an increase of 529,400 tons compared with the end of November, representing a 45.49% growth, which was the highest level of stockpiles at the mines in the past two years. Under the pressure of high stockpiles at the mines, coal enterprises lacked confidence in maintaining prices. In the first half of the month, the market prices of anthracite metallurgical cleaned coal and chemical lump coal both showed a downward trend. As of December 23, the market price of anthracite washed small lumps (with sulfur content 0.4-0.5) in the Jincheng area of Shanxi was 870-920 yuan/ton, with the price center down 35 yuan/ton compared with the end of November; the transaction price of PCI coal in the Changzhi area of Shanxi was 890-960 yuan/ton, with the price center down 55 yuan/ton compared with the closing price at the end of November.
Coal mines mainly focus on stable production, and the supply and demand of market coal are relatively loose.
According to the tracking data from Zhuochuang Information, as of December 18, the operating rate of 86 anthracite mines in Jincheng, Yangquan and Changzhi regions of Shanxi Province, as counted by Zhuochuang Information, stood at 91.86%. The average weekly operating rate of anthracite mines in Shanxi Province in December was 91.47%, which was 0.19 percentage points higher than that in November. In the first and middle ten days of the month, production resumed at some mines that had previously been relocated, leading to a slight increase in the overall operation of anthracite mines. The anthracite mines in production mainly maintained stable output. Some mines that had completed their annual production tasks saw a contraction in production at the pithead. However, the overall supply of anthracite in the market remained relatively loose, and the support from the demand side was weak. Most coal enterprises had poor sales at the pithead, and those that had completed their annual sales tasks took the initiative to accumulate inventories. As a result, the inventories at the pithead of anthracite mines mostly showed a continuous accumulation trend in the first and middle ten days, especially the inventory accumulation was obvious at mines that had not completed their annual production tasks.
The demand for thermal coal in the peak season is lackluster, and non-electric coal-using enterprises continue to control the pace of necessary procurement.
In terms of thermal coal, the cold winter was not as severe as expected, with power plants operating at less than full capacity. Coupled with the crowding-out effect of new energy power generation on traditional thermal power, the consumption of thermal coal by power plants during the peak season was sluggish, lacking bottom support for the anthracite market. On the non-electric front, from the early to mid-month, maintenance activities in downstream chemical plants and steel mills increased, leading to a decline in molten iron output. The support from rigid demand in downstream sectors for anthracite weakened. Moreover, the enthusiasm of non-electric chemical plants and steel mills for anthracite procurement was low; they continued to control the arrival rhythm of rigid demand for anthracite, showed strong resistance to high-priced coal, and even took the initiative to reduce inventories. As of December 19, the average available inventory level of pulverized coal for 20 major steel mills in Hebei tracked and counted by Zhuochuang Information was 7.46 days, 0.69 days lower than the same period last month. With weak support from the demand side, coal enterprises faced difficulties in shipping coal from the pithead, and inventories at the pithead continued to accumulate to a historically high level, which was negative for coal prices.
In late December, coal enterprises' pithead inventories fluctuated at a high level
On the supply side, as the end of the year approaches, various anthracite mines have successively completed their annual production tasks. It is expected that the number of mines undergoing maintenance or reducing production will increase, and there is an expectation of a contraction in the supply of the anthracite market. On the demand side, non-electric terminal demand is in the off-season. The profitability of downstream enterprises is average, and their enthusiasm for purchasing anthracite is not high. Moreover, the Spring Festival in 2026 is relatively late, coupled with the recovery of production in various anthracite mines in January, there is an expectation of an increase in the supply of market coal. Downstream coal-using enterprises are not in a hurry to stock up, and anthracite procurement may continue to follow up with rigid demand while pressing for lower prices. Overall, in the latter half of December, both supply and demand in the anthracite market may be weak. Transactions will mainly be based on a small amount of rigid demand, and there will be a strong sentiment of cautious wait-and-see. The stockpiles at coal enterprises' pitheads may still fluctuate at a high level, and coal prices will continue to be under pressure and operate weakly.
