After the Chinese New Year (CNY) holidays, China's rebar and coking coal markets are facing several challenges

Oversupply Issues: Many coking coal miners extended their holiday breaks due to persistent oversupply. This has led to reduced supply and increased inventory pressures.

Reduced Demand: Steel mills and coke producers are facing profitability challenges due to falling steel prices, leading to reduced demand for coking coal.

Price Declines: Coking coal prices have continued to slide, reaching their lowest levels since May 2021. The national composite coking coal price stood at RMB 1,219.6/tonne, a significant decline year-on-year.

Market Sentiment: The market sentiment remains cautious, with limited restocking by mills and subdued trading activity.