SunSirs: China Coking Coal Prices were Strong Last Week (August 23-27)

　　According to the monitoring of SunSirs, the average market price was 2,666.67 RMB/ ton at the beginning of last week and 2,850 RMB/ ton at the weekend, with a price increase of 6.87% and 111.11% over the same period last year. Coking coal prices are running at a high level.

　　On August 26, the commodity index of coking coal was 210.33, an increase of 3.69 points over the previous day, a record high in the cycle, an increase of 368.34% over the lowest point of 44.91 on January 28, 2016(Note: period refers to 2012-09-01 to now).

　　According to SunSirs, in terms of supply, coking coal is still a strong operating market in the near future, and in terms of origin, the coal in origin has increased recently. However, due to the impact of environmental protection inspection, the supply of coking coal in the main origin is still relatively tight, and the contradiction between coking coal supply and demand still exists.

　　Demand: coke prices rose last week. The average market price at the beginning of the week was 3,078 RMB/ ton, and the average market price at the weekend was about 3,222 RMB/ ton, with a price increase of 4.68%. Under the cost pressure, the coking enterprises have strong intention to raise prices. The downstream steel mills have the demand for replenishment, and the downstream steel mills are not less enthusiastic about procurement. At present, the inventory in the coke enterprises is mostly at a low level, the manufacturers are active in operation and have good sales. It is expected that the coke price will remain strong in the short term.

　　According to SunSirs coking coal analyst, coking coal is still a strong operating market in the near future, and the coal in the producing area has increased recently. However, due to the impact of environmental protection inspection, the supply of coking coal in the main producing area is still relatively tight, and the contradiction between coking coal supply and demand still exists; In terms of downstream coke, the coke price is relatively strong, and coke still has a strong demand for coke coal. Overall, the price of coking coal in the later stage still maintained a strong trend in China.