Wed, April 18, 2018 9:00 am
Thermal Coal Price Commentary: Coal prices in the API2, API4 and NEWC prompt year indices all had notable declines today. Both the API2 and API4 prompt year (2019) markets were down $3.00 to $79.85/MT and $85.15/MT, respectively, while NEWC prices were down $1.90 to $86.35/MT. In the prompt month (May ’18), NEWC was down $1.20 during the day to $89.95/MT, the lowest level since Aug ’17, as news of import restrictions at southern ports in China negatively impacted prices. Ample supplies led to Chinese officials applying partial and complete bans yesterday of thermal coal imports until domestic prices stabilize. According to sxcoal.com, ports in the Fujian province are not able to receive any import coal, while other ports “such as Fangcheng in southwestern China and Zhoushan in east China were allowed to handle imported coal, but under restrictions.” Currently, it’s unclear how long the bans/restrictions will remain in place.