Insufficient momentum to rise in East China coke market

Coke prices in East China have been running steadily. After two rounds of increase, coke prices have entered a short period of calm, and the market is mostly on the sidelines. At present, the mainstream price of East China market is 2000-2050 CNY/ton for secondary wet quenching, 2050-2100 CNY/ton for quasi-primary wet quenching and 2250-2350 CNY/ton for quasi-first dry quenching, all of which are factory tax-containing prices. In the aspect of steel mills, due to the rising enthusiasm of coke enterprises for delivery, the arrival situation of Shandong mainstream steel mills has improved, and the stock has reached a mid-high level. Some steel mills in Jiangsu plan to carry out blast furnace overhaul of two 1080 m3 blast furnaces in mid-September or at the end of this month. It is estimated that the overhaul time will be about three months. At present, they have begun to control the arrival of the products, and the use of Coke will be greatly reduced in the later period.

In terms of coke enterprises, after two rounds of coke increase, the coke price increased by 200 CNY/ton. The profit of coking enterprises has increased. At present, the average profit of quasi-primary metallurgical coke in Shandong has reached 260.5 CNY/ton, and 211 CNY/ton in China. At present, Shandong coke enterprises have low inventory and no inventory pressure. Due to the high inventory level of steel mills in the northern mainstream areas, they have controlled the arrival of goods. Their sentiment towards the future market has begun to weaken and delivery is more positive.

On the part of traders, at present, the inventory of Rizhao Port and Qingdao Port is still high, and TRADERS'mood is still low. Most of them have suspended their quotations and mainly wait-and-see. As steel prices continue to fall, traders are not optimistic about future coke prices.