【Carburant】 Demand-side Support Improves, Market Prices Remain Weak and Stable

Source: Oilchem

Cost Aspect: As of the time of writing, the price of 1# petroleum coke is 3275CNY/ton, with a week-on-week decrease; 2# petroleum coke is 2269CNY/ton, with a week-on-week decrease. Currently, China domestic petroleum coke price market maintains a weak and stable operation. The market atmosphere for low-sulfur coke is sluggish. Refineries are actively adjusting coke prices to cope with the downward market. With good production and sales of coke with medium sulfur indicators, domestic coke prices remain weak and stable. The domestic petroleum coke market is well-supplied, with port inventories increasing by 205,000 tons compared to last week. Petroleum coke prices may continue to operate weakly and steadily.

Source: Oilchem

Downstream Demand: The operating rate and capacity utilization of independent electric arc furnaces in China have significantly increased. Some steel mills resumed production this week, leading to a rise in finished product prices, driving the enthusiasm for production in electric furnace plants, with many expressing a turnaround in profitability.

Source: Oilchem

Price Aspect: The carburant market is weak in trading during this period. Regarding calcined coal, the price of raw material anthracite has slightly decreased. The shipment of calcined coal carburant is general during this period. The operating rate of electric arc furnaces in downstream demand is up compared to last week, and there is currently no pressure on costs, providing no positive factors for the price of calcined coal carburant. As for calcined petroleum coke (CPC) and graphitized petroleum coke (CPC), the price of raw material petroleum coke remains weak and stable, with general demand downstream and prices decreasing compared to last week. The shipment of calcined petroleum coke carburant is general, with downstream orders mainly meeting immediate needs, and prices decreasing compared to last week. It is expected that the future market prices will remain weak and stable, with the possibility of narrow adjustments.

In summary, with raw material prices adjusting narrowly and decent trading on the demand side, the carburant market's support strength is improving. It is expected that the domestic market prices will undergo narrow adjustments in the near future. Please feel free to contact us anytime for news on the carburant market.