China's Reign Over Global Coal Imports Intensifies

China continues to dominate the coal import market, surpassing India by a significant margin. Despite predictions of a drop in Chinese coal imports, China's demand keeps global prices stable. Factors include production costs and strategic shifts in coal sourcing to maintain supply and control prices.

China has solidified its position as the world's preeminent coal importer, surpassing India with a substantial margin last year, according to recent customs data. This dominance fortifies China's influence over global coal markets and has contributed to stabilizing prices.

Despite a decrease from record highs after the Russian-Ukraine conflict, thermal coal prices remain significantly higher than the 2017-2019 average, posing challenges to international market stability. 'China's demand maintains current price levels,' noted Ramli Ahmad of Ombilin Energi.

In 2024, Chinese coal imports reached 542.7 million metric tons, more than doubling India's 250.2 million. Although future reductions are anticipated, experts warn that China's import levels have historically exceeded expectations, continuing to bolster industrial demand.

(With inputs from agencies.)