China's coking coal futures soar as Mongolian fuel crunch threats coal trucking

Chinese coking coal futures prices witnessed an abrupt lift on April 20, as the imminent fuel shortages in Mongolia, the largest coking coal supplier to China, have reportedly posed threats to the two countries' cross-border coal shipments which rely heavily on road transport. This has fueled market concerns over the availability of Mongolian coal for Chinese steelmakers and coking plants, Mysteel Global notes.

The most-traded September coking coal contract on the Dalian Commodity Exchange surged by 3.13% on Monday morning - its strongest single-session gain in nearly a month - before closing the daytime trading 2.77% higher at Yuan 1263.5/tonne ($185.3/t). The sharp rally in coking coal futures also provided broad support