Against the backdrop of high inventory in terminal power plants and a strong bearish market atmosphere, downstream procurement attitudes are relatively negative; At the same time, the recovery progress of the non electricity industry is not as expected, and the demand for coal purchases is also limited. The market trading situation continues to be cool. Due to the downstream trend of 'buying up but not buying down', they refuse to purchase market coal and even decline high priced long-term contracts, which further exacerbates the downward momentum of the Bohai Rim port market and accelerates the decline of spot coal prices.

Most of the production in the main production areas has entered the right track, and the level of long-term cooperative shipping has remained stable. This week, the coal prices at the pithead continued to decline, with Yulin coal prices experiencing a significant drop. With a significant drop in prices, downstream demand for small purchases has increased, leading to an increase in coal mine price sentiment. Some trading customers have a desire to buy at the bottom, and a few coal mines with significant price declines have seen an increase in coal mining vehicles, resulting in a slight price increase of 5-10 yuan/ton. The transportation volume of Daqin Line and Tanghu Line continues to increase, and the inflow of ports around the Bohai Sea maintains a recovery growth. In terms of export, with the end of meteorological sealing and the increase in port clearance efforts, the port's loading volume continues to increase; However, with the ongoing market downturn and high inventory, downstream enterprises are still not in a hurry to buy at the bottom, and the enthusiasm to pull coal from the north is still not high. The increase in anchor ships at ports around the Bohai Sea is limited. It is understood that the average load of terminal power plants remains stable between 70-80%, but the inventory level inside the plant is relatively high, with coal storage available for 15-17 days. The coal procurement prices of East China Power Plants are generally based on the weekly average index. South China Power Plants tend to purchase more imported coal, with some power plants importing 80% of their fuel imports. Many power plants are currently adopting a wait-and-see attitude and have a poor willingness to purchase coal in the market. For future expectations, market transactions are relatively quiet, and coal prices will weakly decline in the short term. When will they stop falling and rebound? The main focus will be on the destocking of ports around the Bohai Sea and the procurement situation of non electricity industries.

This week, the willingness of major power plants to slow down purchases and lower prices remains strong, while non electricity demand, which was originally expected, is unlikely to show significant improvement in the short term due to the slow recovery of the industry's prosperity; The risk of coal unsold in the Bohai Rim port market remains high, coupled with the pressure of destocking caused by high inventory in upstream and downstream ports, further exacerbating seller panic and forcing traders to accelerate the pace of selling and stopping losses; This week, the spot market in the Bohai Rim ports may continue to be weak, with coal prices falling by an average of 6 yuan/ton per day. Due to the good effect of terminal inventory protection, high fulfillment rates of long-term contracts and imported coal, the approaching end of the peak season for electricity coal, and the fact that spot coal prices are still in the process of bottoming out, the coal market in the first and middle of March is still not optimistic.

The continuous decline in the price of thermal coal is due to the rapid recovery of upstream coal supply after the holiday, slow recovery of downstream industrial electricity consumption, high inventory of power plants, and overall weak demand. At present, the supply and demand of thermal coal continue to be loose, and there is still some downward pressure on coal prices in the short term. It is expected that the coal prices in the Bohai Rim port market will fall to around 650 yuan/ton before bottoming out and rebounding, with a time point around the end of March.