World prices for coking coal are located on the edge of the cliff

The growing third month in a row in a row of metallurgical coke will soon fly down, repeating the fate of iron ore raw materials. If a couple of weeks ago the whole world was excited about multi -billion dollar investments in the infrastructure and construction of China, then the current price fiasco in the domestic market of the Middle Kingdom is a harbinger of a drop in metal rolling prices and metallurgical raw materials around the world.

According to Coalguru, wholesale buyers are disappointed with a set price for COX of $ 165 per fobe. Moreover, they are perplexed by the current supply at the level of 170-175 dollars per ton to Foo Australian port. If you add the costs of transportation to this price and the rental of an excavator , then the price will turn out to be clearly overstated.

Chinese and Indian coking coal consumers today actively spend the coke reserves made in advance at their terminals in advance. At the same time, the Chinese authorities said that domestic metallurgical plants should increase the share of Chinese boil coal consumption. Metallurgical coke of its own production in China today is offered at prices less than $ 190 per ton with delivery to the buyer’s warehouse and provides more than 17% of the total needs of the country's metallurgy.

Indian metallurgical plants, looking back at a fairly sluggish demand in the domestic market, also prefer to abandon new contracts with the Australians, considering a large number of proposals from Canada and the United States with prices at 160-165 dollars per ton.

It becomes obvious that the Australian coal bastion to keep the overstated prices for metallurgical raw materials and coke, including becoming more difficult and difficult. Analysts of the steel market do not exclude the rollback of coal prices until the end of March for $ 5.