【Needle Coke】 Needle Coke Market Overview for May 2024 

Market Summary

As of May 24, 2024, the Chinese needle coke market remains stable.

The price range for domestically produced needle coke is as follows:

• Green Coke: 5,000-5,400 RMB/ton

• Calcined Coke: 6,500-8,200 RMB/ton

For imported petroleum-based needle coke, the mainstream transaction prices are:

• Green Coke: 450-1,150 USD/ton

• Calcined Coke: 800-1,300 USD/ton

For imported coal-based needle coke, the mainstream transaction price is:

• Calcined Coke: 800-1,000 USD/ton

The average market price for domestically produced needle coke is 7,547 RMB/ton, unchanged from the previous working day. The Chinese needle coke market is operating steadily, with prices remaining stable and most companies focusing on fulfilling existing orders. Despite a slight decline in raw material prices, petroleum-based needle coke producers are still facing significant production cost pressures, which are unlikely to ease in the short term. Coal-based needle coke producers are currently operating at a loss, resulting in low production enthusiasm, low inventory levels, and cautious sales strategies.

Upstream Market

Oil Slurry: On May 24, oil slurry prices showed mixed trends with a range of 80-250 RMB/ton. The mainstream price for medium and high sulfur oil slurry is 3,400-4,300 RMB/ton, while low sulfur oil slurry is priced at 3,950-4,730 RMB/ton. International crude oil prices continued to decline, leading to a quiet trading atmosphere in the midstream and downstream markets. Refineries reported average sales volumes, with oil slurry prices experiencing slight decreases.

Coal Tar Pitch: On May 24, new orders for coal tar pitch saw lower transaction prices, with the main production areas offering factory prices at 5,000-5,350 RMB/ton. Overall, coal tar prices declined slightly during the week, but the reduction was not substantial. Despite losses in deep-processing of tar, suppliers were reluctant to sell at low prices. However, some companies facing sales pressure have started offering lower prices, negatively impacting the market. The overall supply remains sufficient, with buyers negotiating for lower prices, leading to a downward trend in transaction prices.

Downstream Market

Graphite Electrode: The graphite electrode market is currently experiencing sluggish trade. Producers are adopting a wait-and-see approach, with production plans fluctuating based on order volumes. The transaction environment is inconsistent, with prices varying significantly, though the mainstream price trend remains weak and stable. Market confidence is lacking.

Anode Materials: The artificial graphite anode materials market remains stable, with continued strong demand and increasing inquiries and orders. Conversely, the natural graphite anode materials market is experiencing weaker trade. This is due to lower prices for spherical graphite, which weakens the support for natural graphite anode material prices, and limited demand from downstream battery manufacturers. With overall market overcapacity, low-price competition is prevalent, leading to downward pressure on natural graphite anode material prices.

Petroleum Coke:

Market Outlook

A certain petroleum-based needle coke enterprise in Liaoning has resumed production this week, with output expected in the next few days. Consequently, market supply will increase slightly next week. Companies are currently fulfilling previous orders with stable negotiation sentiments for new orders. In the short term, needle coke prices are expected to remain stable, with calcined coke ranging between 6,500-8,200 RMB/ton and green coke between 5,000-5,400 RMB/ton. For more information on the needle coke market in June, pls feel free to contact us.