Coke's second round of raising pressure

Recently, a coke enterprise in Luliang, Shanxi Province, issued a second round of increase after the first round of adjustment and increase in the coke market was gradually implemented. The price of Xuzhou, Jiangsu Province, has also risen by 50 yuan per ton due to the problem of production restriction. At present, the average daily output of coke is estimated at 19,000 tons. At the same time, the production restriction in Tangshan began again. Due to the impact of futures, traders' mentality has weakened and port inventory has decreased.

Profit

According to Mysteel data, as of August 2, the profitability of 30 sample independent coking plants in China was as follows: the average profitability of coke per ton in China was 136.3 yuan, an increase of 1.03 yuan annually; the average profitability of quasi-primary coke in Shanxi was 99.66 yuan, a decrease of 5.66 yuan; the average profitability of quasi-primary coke in Shandong was 179.25 yuan, an increase of 0.4 yuan. The average profit of Inner Mongolia secondary coke was 119.27 yuan, down by 1.7 yuan, while that of Hebei quasi-primary coke was 136.21 yuan, up by 0.65 yuan.

Inventory

As of June 28, the sample coke inventory of 110 steel mills in China was 45172,000 tons, a decrease of 0.11 million tons annually compared with last week, with an average usable days of 14.26 days, a decrease of 0.12 days annually; coking coal inventory was 8888.38 million tons, a decrease of 87,600 tons, an average usable days of 17 days.

The coke stock of 100 independent coking plants in China is 283,200 tons, which is 0.57 million tons lower than that of the surrounding coking plants. Among them, 17,000 tons in Northeast China, a decrease of 0.3 million tons annually; 63,700 tons in North China, a decrease of 25,000 tons annually; 112,200 tons in Northwest China, a decrease of 0.62 million tons annually; 118,000 tons in Central China, a decrease of 0.04 million tons; 57,500 tons in East China, an increase of 12.5 million tons; 24,000 tons in Southwest China, an increase of 0.3 million tons. The inventory of coke port is as follows: 440,000 tons in Tianjin Port, 10,000 tons in circumference ratio; 80,000 tons in Lianyungang, 10,000 tons in reduction; 1.7 million tons in Rizhao Port, 48,000 tons in increase; and 2.67 million tons in Dongjiakou are flat. The productivity utilization of independent coking plants in Northeast China (100 samples) increased by 0.59% annually compared with last week, 80.97% in North China, 2.26% annually, 87.2% in Northwest China, 1.56% annually, 89.07% in Central China, 6.69% in Central China, 75.21% in East China and 2.17% in West China. 77.33% in the southern region was flat. As for steel mills, as of August 2, the blast furnace overhaul rate of steel mills in China was 67.27%, which was 0.56% higher than that of last week. The starting rate of blast furnace with annual crude steel output less than 2 million tons is 51.64%, the starting rate of 200-6 million tons is 66.89%, up 1.66%, the starting rate of crude steel output more than 6 million tons is 74%, and the ring ratio is 0.33%.

247 steel mills in China have a blast furnace start-up rate of 80.95%, which is 0.81% higher than that of last week; the profit rate of 247 steel mills is 89.47%, which is 1.22% lower than that of last week. 

According to market information, since 13:00 on August 4, Tangshan Iron and Steel Company has carried out a new round of production restriction, coking enterprises will extend the coking time, release time will be notified separately. At present, although the BF production is limited at some time, the actual downstream steel stock is still higher than before, and the steel price operates under pressure. The second round of coke increase is somewhat laborious, but with the reduction of coke enterprises'starting stocks, the possibility of large-scale landing is greater.