【Needle Coke】 Production Remains Stable with a Cautious Atmosphere

1. Highlights of the Week

1) The weekly production of needle coke is 12,800 tons, unchanged from the previous week.

2) The average capacity utilization rate of independent arc furnace steel mills is 53.30%, a decrease of 0.30 percentage points compared to the previous week and an increase of 1.46 percentage points year-on-year.

3) The market price of modified coal tar pitch has been reduced by 60 yuan/ton, with the mainstream price at 5200-5300 yuan/ton, while the market price of low-sulfur slurry has increased by 50-160 yuan/ton compared to the previous week, with the mainstream price at 4300-4560 yuan/ton, and the price trend of calcined petroleum coke.

2. Market Analysis for the Week

 Source: Oilchem

This week, downstream demand recovery is slow, and influenced by raw material costs, some companies have raised prices, leading to an overall cautious atmosphere. The mainstream price of matured needle coke is between 7,000-9,500 yuan/ton, while green coke is priced at 4,800-5,500 yuan/ton.

3. Analysis of Market Influencing Factors

In terms of raw material costs, the market price of modified coal tar pitch has been reduced by 60 yuan/ton, with the mainstream price at 5200-5300 yuan/ton, while the market price of low-sulfur slurry has increased by 50-160 yuan/ton compared to the previous week, with the mainstream price at 4300-4560 yuan/ton, resulting in mixed trends in raw material prices. In terms of supply, this week's production output remains unchanged from the previous week. In terms of demand, the production of negative electrodes is steadily increasing, downstream demand for power batteries is growing year-on-year but at a slower pace, and in September, there is no significant increase in downstream orders, leading to a stable but subdued supply-demand situation in the negative electrode market. Graphite electrode demand is improving.

4. Market Forecast for Next Week

With the firm pricing of raw material slurry and the influence of favorable factors, it is expected that needle coke prices will fluctuate narrowly next week.  Contact us to learn the latest market reports of needle coke.