Metal Bulletin’s cfr China Premium Hard Coking Coal Index has fallen 7.3% since September 4 to reach $199.87 per tonne on Thursday September 21.
Metal Bulletin’s 62% Fe Iron Ore Index has dropped 15% over the same period to $66.09 per tonne cfr China.
The drops experienced by the indices were driven by actual concluded transactions – and not assessments – at lower prices, which underline a palpable change in the outlook for the steelmaking raw materials markets.
The change in sentiment was augmented last week when the government of China’s Hebei province announced plans to cut coke and steel production in the winter months, in line with the directives previously announced by the central government.
As part of the cuts, cokeries in the province’s Tangshan city have been instructed to increase their coking time to 36-48 hours between October and March, a move...