According to the Commodity Analysis System of SunSirs, the recent weak consolidation of refined petroleum coke prices has led to a slight decline. As of June 24th, the price of refined petroleum coke in the Shandong market was 1,482.75 RMB/ton, a decrease of 0.34% from 1,487.75 RMB/ton on June 17th.

Cost side: The crude oil market is fluctuating and rising. On the one hand, the tense geopolitical situation has resurfaced supply risks, and the supply and demand situation is favorable for the oil market. On the other hand, the Chinese economy continues to rebound and improve, coupled with the arrival of the peak oil consumption season in North America, strongly supporting oil prices. Multiple favorable factors have affected the upward trend of international oil prices, and the rate of change in crude oil remains positive.

Supply side: The recent weak consolidation of the local refining petroleum coke market is the main focus, and downstream purchases of petroleum coke are limited at the end of the month, with average transactions. Recently, imported petroleum coke has continued to arrive at ports, leading to an increase in domestic petroleum coke supply and overall weak support for the petroleum coke market.

On the demand side: As of June 27th, China has started operating 418 silicon metal furnaces, with an overall start-up rate of 57.03%, an increase of 17 furnaces compared to last week. The number of industrial silicon furnaces continues to rise, with significant new operations in Sichuan and Yunnan, and relatively stable operations in the northwest. At present, the demand for purchasing petroleum coke from metallic silicon is still acceptable, supporting the petroleum coke market.

In recent times, the overall market for medium sulfur calcined coke has remained stable, while the upstream refining petroleum coke market is weak. Currently, most enterprises are selling at a stable price, while downstream enterprises are mainly wait-and-see.

The recent consolidation of aluminum prices is mainly due to the expected increase in quantity on the supply side; Due to the steady resumption of production by Yunnan aluminum enterprises, the domestic electrolytic aluminum production capacity is at a relatively high level, with a monthly month on month increase of 300,000 tons. On the other hand, on the demand side, there is a downward trend in the operating rate of aluminum rods. Coupled with market demand, there are not many new orders for photovoltaic modules and building profiles, which are lower than expected. Downstream aluminum carbon enterprises maintain a rigid demand for petroleum coke procurement.

Currently, there is sufficient supply of petroleum coke in China, with high port inventories and limited downstream demand. Demand based procurement is the main focus, and it is expected that the local refining petroleum coke market will consolidate in the near future.

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