📌 Steel Market Update
Advisory Bazaar Info Services
🔹 Dalian Iron Ore
Dalian iron ore futures opened weak in early trade today, though a mild recovery was seen during the afternoon session. The benchmark contract I2605 closed 0.51% lower at 788 yuan/ton.
🔹 Tangshan Domestic Iron Ore Market
The domestic iron ore market in the Tangshan region remained largely stable.
Prices for 66% grade iron ore concentrate (dry basis, including tax) on a delivery-to-factory basis were quoted at 980–985 yuan/ton.
Tight local supply provided support to prices. However, attempts by steel mills to push prices lower and volatility in imported ore prices suggest that prices are likely to remain range-bound in the near term.
🔥 Coking Coal Market
• Linfen (Low Sulfur): 1,650 yuan/ton
• Tangshan (Low Sulfur): 1,450 yuan/ton
âž¡ In February, production from private and state-owned mines may decline due to holidays.
âž¡ Weakness in steel prices has cooled demand, and discounts in online auctions have increased.
🔸 Short-term volatility in coking coal prices is likely.
🔥 Coke Market (National Average)
• First Grade (Dry Quenching): 1,735 yuan/ton
• Quasi First Grade (Dry): 1,595 yuan/ton
• First Grade (Wet): 1,390 yuan/ton
• Quasi First Grade (Wet): 1,300 yuan/ton
âž¡ Coking costs are stable, but most coke plants are operating at a loss.
âž¡ Demand from steel mills remains limited, while environmental regulations continue to put pressure on hot metal production.
🔸 Overall, the market is in a wait-and-watch mode, with ongoing tug-of-war between steel producers and coke companies.