Price reduction of coking coal in Shandong mainstream Coal Enterprises

According to the market news, since April 1, Shandong large coal mines have successively lowered the price of coal by 20-50 CNY/ton, including 50 CNY/ton for block coal and washing power coal, and 10-50 CNY/ton for volume price concessions; 20 CNY/ton for mix coal, and 10-30 CNY/ton for volume price concessions; 50 CNY/ton for gas refined coal, and the volume price linkage policy continues to be implemented. The specific price changes are as follows: since April 1, the listing price of lump coal and power coal in a large mine in Shandong Province has been reduced by 50 CNY/ton, and the implementation of "monthly combined shipment reached 10000, 20000, 30000 and 40000 tons, respectively, with a preferential price of 10, 30, 40 and 50 CNY/ton"; the listing price of mixed coal has been reduced by 20 CNY/ton, and the volume price linked policy has been adjusted to monthly shipment reached 10000, 20000 and 30000 tons, respectively, with a preferential price of 10, 20 and 30 CNY/ton; The listing price of gas refined coal will be reduced by 50 CNY/ton, and the policy of linking quantity and price will continue to be implemented.

Affected by the price reduction of large mines, the price of refined coal from local coal mines in Shandong Province may have plans to make up for the decline in the later period. As a whole, after this round of price adjustment, Shandong gas refined coal price will gradually stabilize operation. It is predicted that the coking coal market will continue to bear pressure, and there is no hope for improvement in the first half of the year. In terms of supply, at present, the coal mines in the production area basically resume normal production in an all-round way. The average utilization rate of coal mines in Shanxi, Inner Mongolia, Shanxi and other places has reached about 90%. The output has been increasing and the supply is sufficient. In terms of demand, at present, in order to find a living space in the downstream coke market, the price of coking coal can only continue to be depressed. Currently, the enthusiasm for coking coal procurement is not high, and the main purpose is to digest inventory and purchase on demand. In terms of downstream products, there is no hope for improvement in the steel and coke market at present, and it is difficult to explore the price increase. On the whole, the contradiction between supply and demand of coking coal is gradually highlighted and intensified. In the later stage, the coking coal market will continue to bear pressure, and the price focus will gradually move down. There is no hope for improvement in the first half of the year.