From November 4, 2022 to November 11, 2022, the production price of coal tar in Shanxi was lowered. According to the monitoring of the business community, the average market price was 6712.5 yuan/ton last weekend, and the average market price was 6452.5 yuan/ton this weekend, down 3.87%.

On November 11, the coal tar (high temperature) commodity index was 222.50, unchanged from yesterday, 3.88% lower than the cycle’s highest point of 231.47 (2022-11-09), and 371.90% higher than the lowest point of 47.15 on December 6, 2015. (Note: the cycle refers to 2011-09-01 to now).

The bidding price in Shanxi fell sharply this week, the downstream deep processing industry has strong resistance to high priced raw materials, and the price of deep processing related goods fell this week.

The K-bar chart of commodity prices reflects the weekly or monthly price changes in the form of a bar chart based on the concept of price trend K-line. Investors can buy, sell and invest according to the changes in the K-bar chart. Red means rising; Green means: down; The height of the K column indicates the range of rise and fall. It can be seen from the monthly coal tar K column chart above that since January 2022, the coal tar market has risen for six months, only slightly declined in May, and the price remained stable in February. The weekly K-bar chart shows that the coal tar market rose for 12 consecutive weeks. Only after a small price correction in one week, the price continued to rise, and fell sharply in November.

In terms of the industrial chain, the downstream deep processing industry rose and fell by half this week, the profit of the deep processing industry was further tightened, and the deep processing industry’s resistance to the high price of coal tar was strengthened again. The high price of coal tar pitch, which rose sharply last week, fell back, while other commodities showed tepid performance, and coal tar gradually lacked downstream support.

This week, the mainstream of the coal tar market is mainly downward, especially in Shanxi, where the previous increase was relatively high. The auction price this week dropped sharply. As of November 11, the mainstream price in Shanxi was 6350-6450 yuan/ton, down about 350 yuan/ton. The price in other regions did not change much this week. The mainstream price in Shandong was stable at 6400-6450 yuan/ton, while that in Hebei was 6400 yuan/ton, basically unchanged from last week. On the supply side, coking enterprises still normally limited production this week, with little change in tar output. In the downstream, the overall cash flow of the deep processing industry is not good this week, and the resistance to high priced raw materials is growing. However, as the heating season enters, the operating rate of coking enterprises is still expected to decline to some extent, and the tar will soon enter a period of seasonal tight supply. Therefore, the tar price will remain at a high consolidation trend in the future market, with the price mainly fluctuating in a narrow range.