Rapid increase in metallurgical coal prices

By far the most crucial development in the global steel industry in September 2016 has been the rapid increase in metallurgical coal prices. Since a trough in late May 2016 of less than $80/tonne metallurgical coal prices improved steadily through the early part of the summer, but have spiked higher $70/tonne higher in the last month to $175-190/tonne fob and rising.

By far the most crucial development in the global steel industry in September 2016 has been the rapid increase in metallurgical coal prices. Since a trough in late May 2016 of less than $80/tonne metallurgical coal prices improved steadily through the early part of the summer, but have spiked higher $70/tonne higher in the last month to $175-190/tonne fob and rising.

How and why coking coal prices have moved up in the manner is a discussion best undertaken in Metal Bulletin Research's various weekly/monthly Tracker Forecaster products. But for the purposes of this LinkedIn post I wanted to examine the impact this may have on the outlook for the steel industry.


I estimate that an increase in...

Published

Brian Levich

September 22, 2016

00:00 GMT