The delayed resumption of coking steel in most coal mines in Southwest China

This week, the coke market in Southwest China is temporarily stable, and the coke steel is still in a stalemate stage near the mid month pricing. At the beginning of the month, the steel plant raised and lowered 100 CNY/ton, and Jiao Qiting's price mentality increased 50 CNY/ton strongly, but the price adjustment failed. Now, the tax inclusive price of Kunming quasi second metallurgical coke is 2200 CNY/ton, Qujing quasi second metallurgical coke is 2095 CNY/ton, and Guizhou quasi second metallurgical coke is 2135 CNY/ton. Due to the three rounds of increase in the coke market in the north before the year, the supply and demand of coke in the southwest region is balanced, and the coke price does not follow the rise. At present, the profit of coke enterprises is still at a relatively low level; after the festival, due to the impact of the epidemic situation, such as the road transportation is not smooth, the coal mine is delayed to return to work, etc., the coke enterprises generally reduce the production load of 10% - 30% due to the shortage of coal resources. In terms of steel plants, due to the epidemic situation, many plans to resume work in the downstream infrastructure industry have been postponed to March. It is difficult to organize personnel to resume work, and the short-term steel demand is not optimistic.

There is a large amount of overstocked finished material inventory in the steel plant, and the raw material inventory is lower than normal, and the maintenance load of some steel plants is reduced by 10% - 30%, so as to relieve the pressure of finished material inventory; some steel plants are shut down for maintenance due to the shortage of coal resources. In terms of transportation, due to the strict control of the epidemic situation, the automobile transportation stopped and the fire transportation was normal, but in the near future, the fire transportation inspection efforts increased. It is expected that Coke will remain in the wait-and-see state. In terms of coking coal, most of the coal mines in Southwest China are still in the state of waiting for full resumption of work, and the number of workers is insufficient. It is expected that normal production will resume from the end of February to the beginning of March. Due to the shortage of power coal supply in Guizhou, the production of power coal mines has resumed; after the completion of asset acceptance and personnel training of large state-owned mines in Yunnan, normal production will resume in the near future. At present, the coal price is temporarily stable. The main coking coal price in the mainstream area is 1410 CNY/ton, and the 1 / 3 coking coal price is 1390 CNY/ton. It is predicted that the short-term coal price is still relatively strong. On the whole, it is predicted that the short-term coking steel is still in the stage of game deadlock, the price of coke is difficult to rise, the downward trend is supported, and the price rate in the middle of the month may maintain stable operation.