The real demand for coke remains strong. In mid-August, the average daily molten iron output of 247 steel mills across the country reached a new high, reaching 2.533 million tons; the output fell slightly in the second half of the month, but it was generally at a high level. From the perspective of pig iron production, in July, my country’s pig iron production was 78.18 million tons, an increase of 2.02% from the previous month and a substantial increase of 14.44% from the same period last year. From January to July, the cumulative output of pig iron in my country was 503.45 million tons, an increase of 4.56% over the same period last year. In the same period, the coke production fell by more than 2%. It is not difficult to understand why coke has been in a tight supply and demand for a long time this year. At present, steel mills have no obvious intention to reduce production, and the environmental protection and production restriction policies in some areas are mainly aimed at the sintering section, which has relatively little impact on the blast furnace. Entering September, the impact of high temperature and rain on the terminal market will gradually weaken. If the peak season demand is confirmed, the coke price will continue to run strongly.

Under the tight supply and demand pattern, the total coke inventory has steadily declined. In terms of sub-structure, the current coke enterprises are profitable and the enthusiasm for shipments is relatively high. The sample data shows that the coke inventory in the coking enterprises is at an absolute low level, and there is no pressure to increase the inventory. As for steel mills, the demand for coke continued to rise. The coke inventory increased in July was basically consumed in August, and the inventory fell to a median level. In terms of ports, the sentiment of traders has gradually improved. The inventory of coke ports has continued to increase, but the magnitude is not large, and there is no “dragging” impact on coke prices for the time being.