PR of China influences Japan's 2002 coal price negotiations

摘要

The coal contract price negotiation ritual traditionally begins in earnest at the end of November when the usual leaders, the Japanese Steel Mills (JSM) and Australian coking coal suppliers, commence official face-to-face discussions. But according to AME Mineral Economics (Fax: +61 (0)2 9262 2587; Web: www.ame.com.au), the background is different this time."The coking coal market firmed during the year, creating the unusual outcome of Japanese coking coal contract prices lower than European, South American and Indian. The traded coking coal market remains tight, supporting sellers, a scenario that usually leads to prolonged negotiations," AME reported ". On the other hand, the traded thermal coal market is now weakening after remaining very firm until September. Will these circumstances see the Japanese Power Utilities (JPU) conclude negotiations first? If the thermal market continues to soften, we believe the JPU may settle first, breaking a very long tradition.