For oil-based needle coke: supported by high-priced slurry oil, prices kept climbing during the month. The industry operated at low capacity utilization with tight spot supply, and some suppliers faced the situation of “quoted prices but no available goods”. A coking unit of a Northeast China plant restarted and produced coke this month; however, new orders have not yet been finalized, leaving limited pending new orders in the market. Downstream buyers showed growing resistance to high prices. Most oil-based needle coke producers suspended quotations, with continuous bargaining between upstream and downstream parties.
For coal-based needle coke: sharp rises in feedstock prices pushed manufacturers into profit inversion, forcing multiple producers to halt production. Negotiations between manufacturers and downstream buyers are ongoing, and subsequent transaction volumes remain to be monitored.
Monthly price range: mainstream calcined oil-based needle coke at RMB 8,600–12,200/tonne; mainstream green coke (coal and oil-based) at RMB 7,500–9,000/tonne.
In import and export markets: Japan’s coal-based needle coke was priced at USD 830/tonne; South Korea’s coal-based needle coke at USD 1,120/tonne. Japan’s oil-based needle coke stood at USD 1,300–1,400/tonne. UK calcined coke was quoted at USD 1,250–1,400/tonne, and anode-grade coke at USD 840–1,080/tonne.
For coal tar pitch: the market followed a trend of “rising first, then falling, followed by a rebound”. The price center was higher than at the start of the month. Up to now, modified pitch was mainly quoted at RMB 5,000–5,600/tonne, and medium-temperature pitch at RMB 5,000–5,500/tonne.
Details for this month: In early September, tender prices for feedstock high-temperature coal tar generally rose on strong cost support, keeping new orders on an upward track. Mid-month, coal tar prices dropped noticeably, weakening cost support. Downstream buyers adopted a wait-and-see stance and pressed for lower prices, weighing down negotiations for new orders and dragging the market lower. In late September, tight supply of feedstock coal tar triggered a sharp price rebound. Deep-processing enterprises faced surging cost pressure and were eager to raise prices. Improved export conditions and month-end negotiations for monthly orders from downstream buyers also pushed new offer prices steadily higher. Overall, the coal tar pitch market bottomed out and rebounded driven by costs, yet ample spot supply capped the magnitude of price gains.
Market Outlook: Backed by strong support from coal tar feedstock and stable anode demand, the coal tar pitch market still has upside potential in September.
For slurry oil: The slurry oil market trended upward with fluctuations this month, and its price center rose markedly versus August. Overall slurry oil output remained stable. Restart of some local refineries and resumed external sales brought modest supply increments. Restricted by feedstock conditions and coking economics, most refineries operated at medium-to-low loads. Some refineries consumed slurry oil internally, keeping spot circulating supplies tight. Demand was divergent. Low-sulfur slurry oil faced constraints from limited needle coke operating rates, leading to generally weak demand.
Outlook for October: Geopolitical risks have shifted from escalating conflicts to pricing in de-escalation, yet negotiations are still in the early stage. Crude oil prices may fluctuate weakly within a broad range, bringing balanced bullish and bearish factors to the cost side. On the supply side, constrained by feedstock and coking profitability, supply will likely stay low in the short term. Demand for low-sulfur slurry oil will hardly improve due to low needle coke operating rates, coupled with slower holiday-related restocking. Overall, slurry oil prices are projected to fluctuate downward in October.
On the downstream side, needle coke demand showed divergence this month. For green coke: The operating rate of anode material producers edged up month-on-month, sustaining rigid production demand. Nevertheless, high needle coke prices created heavy purchasing pressure. Most buyers have not confirmed new order volumes and mainly purchased only to meet immediate needs. For calcined coke: The operating rate of end-user electric arc furnace steel mills fell month-on-month. Plagued by profit inversion and fierce internal competition, graphite electrode makers purchased calcined coke cautiously with little willingness to chase price hikes for stockpiling; buyers made purchasing decisions more rationally.
Outlook for October: Feedstock prices remain relatively high with solid cost support, and coke producers retain strong price-defending sentiment. However, downstream buyers have limited tolerance for high prices. New orders from anode material players have not yet landed, and graphite electrode demand will see no notable improvement. Material volume growth awaits large-scale concentrated procurement from downstream sectors. Overall, the needle coke market is expected to stay firm at high levels in October. Some suppliers with lower current prices may still have room for price increases, while high-price producers will likely maintain firm quotations.
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