“The price of graphite electrode rose by 0.1-0.5 million yuan / ton”
After the National Day, the price of needle coke increased, and the price of needle-like coke in Jinzhou Petrochemical Company was raised by RMB 1,000/ton to RMB 30,000/ton.
The price of domestic needle coke increased by 40%-60% compared with the beginning of the year; the price of imported oil needle coke increased by 37%, and the low-cost supply completely disappeared in the market. Since 2017, needle coke products have continued to make huge profits, and people inside and outside the industry have stepped into this hot spot.
According to the agency’s forecast, the total supply of needle coke in China is 460,000 tons in 2018, and the output of domestic needle coke is 270,000 tons, 60% of which will flow to the graphite electrode market. The high price of needle coke is inseparable from the support of the downstream market. .
Needle coke is a scarce product at home and abroad. Needle coke accounts for more than 70% of the total cost of graphite electrodes, and the ultra-high power graphite electrode raw materials are completely composed of needle coke. In 2018, China’s electric furnace steel industry is developing rapidly. The annual output is expected to exceed 100 million tons, and nearly 40 new electric arc furnaces. The increase of electric furnace steel production capacity has injected new vitality into China’s graphite electrode market. China has officially announced capacity replacement. The designed capacity of the new electric arc furnace is 50.8 million tons. According to the agency’s forecast, China’s electric furnace steel output will reach 130 million tons in 2020, and the global demand for graphite electrodes will increase by 350,000 tons from 2018 to 2020.