Latest Update in the SMM Coal Market

[SMM Coking Coal and Coke Daily Brief] Supply side, the third round of coke price increases has been implemented. Coke producers saw increased profitability and maintained high production enthusiasm, while their coke inventory remained at low levels, supporting an optimistic sentiment. Demand side, hot metal production at steel mills edged down recently, weakening rigid demand for coke. Steel mills' own coke inventory stayed at reasonable levels, and buyers mainly purchased as needed. In summary, downstream demand is expected to weaken, and the tight supply-demand structure of coke is expected to improve. In the short term, the coke market is likely to hold up well with a generally stable with slight rise trend.

[SMM Coking Coal and Coke Daily Brief] In terms of supply, the third round of coke price increase has been implemented, and current by-product prices continued to rise. Coking enterprises enjoyed good overall profits and were active in production, with coke production steadily increasing. Demand side, hot metal output at steel mills remained at high levels, providing support for rigid demand for coke. Meanwhile, HRC futures continued to strengthen recently, steel mill profitability recovered significantly, and enthusiasm for coke procurement further increased. In summary, the coke supply-demand structure maintained a tight balance, and the coke market may hold up well and remain generally stable with slight rise in the short term.

[SMM Coking Coal and Coke Daily Brief] News: Mainstream steel mills in Hebei and Shandong raised wet-quenched coke prices by 50 yuan/mt and coke dry quenching prices by 55 yuan/mt, effective from midnight on May 11, 2026, marking the implementation of the third round of coke price increases. Supply side, cost support for coke strengthened recently, and coke producers saw good order-taking activity, with rush delivery requests emerging in the market, keeping coke supply in a tight balance. Demand side, steel mill profits expanded notably, production enthusiasm remained high, daily average hot metal production continued to fluctuate at highs, coke demand stayed strong, and steel mills were active in purchasing. In summary, following the implementation of the third round of coke price increases, the coke market is expected to be generally stable with slight rise in the short term.

[SMM Coking Coal and Coke Daily Brief] News: Some steel mills have accepted the third round of coke price increase, with a rise of 50-55 yuan/mt, expected to take effect from 00:00 on May 11. In terms of supply, coke producers' profits narrowed but remained above the break-even level, with moderate production enthusiasm. Supply was generally stable with a slight increase, coke producers' shipments were smooth, and their own coke inventory stayed at a relatively low level. Demand side, recent finished steel prices rose, steel mill profits increased, daily average hot metal output remained at a relatively high level, and procurement demand for coke persisted. In summary, the third round of coke price increase was still in a negotiation phase, and the coke market may hold up well and remain generally stable with slight rise in the short term.

[SMM Coking Coal and Coke Daily Brief] Supply side, coking enterprises currently maintained profitability with moderate production enthusiasm. Supply was generally stable with a slight increase, and shipments from coking enterprises were smooth, with coke inventory at coking enterprises remaining at a relatively low level. Demand side, finished steel prices rose recently, steel mill profits increased, daily average hot metal output remained at a relatively high level, and steel mills' demand for coke was relatively firm. In summary, the third round of coke price increase was still in a negotiation phase, and the coke market was expected to hold up well with a generally stable with slight rise trend in the short term.

[SMM Coking Coal and Coke Daily Brief] Supply side, coking costs increased, squeezing coke enterprise profits. Currently, coke enterprises maintained normal shipments, with their own coke inventory at low levels, and coke production levels were generally stable with slight increases. Demand side, steel mills currently had high production enthusiasm, hot metal production declined slightly but remained at a relatively high level, sustaining rigid demand for coke. Additionally, finished steel prices rose notably after the holiday, expanding steel mill profits. In summary, the third round of coke price increase has not yet been implemented, with coke and steel enterprises continuing to negotiate. In the short term, the coke market is expected to hold up well, remaining generally stable with slight rise.

[SMM Coking Coal and Coke Daily Brief] In terms of supply, coking costs were generally stable with a slight increase, and coke enterprises had good shipments, with their own coke inventory falling to low levels, leaving no sales pressure. Demand side, end-use demand for finished steel products had weakening expectations, and hot metal output was expected to see a slight correction this week, weakening rigid demand for coke. Steel mills showed strong resistance to the third round of coke price increases. However, ferrous metals futures rose broadly today, and after consumption during the Labour Day holiday, some steel mills saw their coke inventory decline, making it possible for those mills to accept the third round of coke price increases. In summary, coke and steel enterprises may continue to negotiate, and the coke market is expected to remain generally stable with slight rise in the short term.

[SMM Coking Coal and Coke Daily Brief] In terms of supply, coke producers maintained stable production, with solid cost support for coke. Additionally, coke producers saw relatively smooth shipments, and their own coke inventory showed a declining trend. Demand side, steel mills had certain rigid restocking demand for coke, but hot metal production pulled back slightly. Moreover, the steel market performed weakly, steel mill profitability was mediocre, and buyers became more cautious in coke procurement, with cases of controlling deliveries. In summary, coke fundamentals remained in a tight balance, and cost support for coke persisted. Coke market is expected to hold up well and remain generally stable with slight rise after the holiday.