【Needle Coke】Raw Material Price Increase and Weak Production Profits

Due to cost pressures, the prices of raw materials for needle coke production have been increased by 300 yuan/ton for green coke and 500 yuan/ton for calcined coke. The mainstream prices for green needle coke are in the range of 5,000 to 5,500 yuan/ton, while calcined needle coke's mainstream prices range from 8,000 to 9,500 yuan/ton.

Supply Situation: Many coal-based needle coke enterprises have suspended production or shifted to produce asphalt coke, with no definite time for resumption of operations. Petroleum-based needle coke enterprises are maintaining low-load operation.

Demand Situation: Demand from negative electrode enterprises shows a slight upward trend. The opening rate of independent electric arc furnaces in China has also slightly increased, leading to a marginal improvement in capacity utilization. However, the demand for needle coke from the graphite electrode industry remains weak.

In the low-sulfur pitch market, the mainstream prices are in the range of 4,100 to 4,500 yuan/ton. The mainstream prices for modified coal tar pitch have been raised to 5,100 to 5,300 yuan/ton, and the mainstream prices for medium-temperature coal tar pitch are at 4,800 to 4,900 yuan/ton. The mainstream price for medium-grade synthetic graphite is 34,000 yuan/ton, while the market price for ultra-high power 700mm graphite electrodes is at 23,500 yuan/ton.

Although there is some recovery in downstream demand for negative electrodes, it will take some time for this to translate into improved demand for needle coke. As a result, there is significant pressure on needle coke transactions. Follow us to learn more about the development trend of needle coke market.