SunSirs: China Coke Market Atmosphere was Good on December 8

According to the price monitoring of SunSirs, on December 8, the price of quasi primary metallurgical coke in Shanxi was 2,482 RMB/ton, which was unchanged from the previous trading day. The average market price of primary metallurgical coke was 2,635 RMB/ton, unchanged from the previous trading day, with a year-on-year increase of 5.65%.

Near the end of the year, there is a certain expectation of limited production in the mining area. The increase of areas with poor automobile transportation will affect the delivery of coking coal in the region, and the overall supply of coking coal is slightly strained. The demand of downstream enterprises for winter storage still exists. With the support of demand, the mining area has a strong attitude of price fixing, and some coal types are operating on the strong side, which has a strong boost to the coke market and is good for the coke market.

The price of coke market is temporarily stable today, and the market sentiment is good. Shanxi, Shandong and other major production areas started the third round of increase of 100-110 RMB/ton, which is not accepted by downstream steel mills. The tight supply of raw materials in the coking enterprises has been improved recently, and the operating rate has increased slightly compared with the early stage. The coking enterprises have a good mentality. In terms of demand, the steel mills have performed well in the procurement of winter storage and replenishment, and the price of finished products has risen slightly. At present, the demand for coke is OK. However, after two rounds of coke increases, the price of raw materials has risen a lot, and the steel mills are still losing money. Therefore, the steel mills in the main production areas have a strong resistance to the third round of increase, and it is difficult to implement the third round of increase. The coke steel game mentality is heavy. In the future market, SunSirs thinks that the coke market is selling well at present, and the inventory in the factory is generally low, but the profits of the steel plant are low. It is expected that China coke price will be mainly stable in the short term. If the subsequent price of finished products continues to rise, the profits of the steel plant will be recovered, and there is room for the price to rise slightly.

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