Metallurgical Coke Prices Rise as Logistics Tighten
Northern Chinese steel mills accepted higher purchasing prices for coke on May 25, 2026, marking a recovery from a weak first quarter. The increased coke prices are attributed to tightening logistics and supply chain pressures.
Metallurgical coke prices increased in late May 2026 after northern Chinese steel producers accepted higher purchasing prices on May 25. This marks a shift from a weak first quarter, where soft steel demand and high inventories had previously pressured prices downwards.
The first quarter saw a challenging market for coke. Weak demand from steelmakers and elevated stock levels led to price declines, despite consistent supply. Coke demand is closely tied to activity in the construction and manufacturing sectors.
Towards the end of the quarter, tightening logistics and increased freight risks introduced additional cost pressures, which supported the price increases. The sustainability of the market's recovery going forward will depend on developments in steel production.
In separate developments, India's steel ministry has advocated for the removal of anti-dumping duties on low-ash metallurgical coke, citing the cost burden these levies place on domestic steel mills. Such policy shifts could significantly impact regional sourcing decisions and landed costs.