This year, coal mining in China has reached the volumes of the record, which has strictly reduced the amount of imports. In addition, China and India have accumulated significant reserves, so now the purchases have almost stopped.
Energy coal prices can decrease more after falling to a minimum for four years – amid a sharp increase in production in China, which has led to the world market, analysts warned. This has been reported by the Financial Times.
The basic prices of coal used in electric plants for electricity are fell to a -quarter of the peak of 2022, when the entire Russian invasion of Ukraine motivated an energy crisis and a rapid growth of the coal market.
A long period of high price at 2022-2023, where some miners and fence funds earned significant income, stimulating labor growth. China, India and Indonesia have opened new mines.
This year, internal production in China – the largest energy consumer manufacturer and consumer – is at a record level. This leads to a reduction in imports. High coal reserves in China and India – the second largest consumer – also contributes to market dizziness.
Analysts expect this year’s prices to decrease even more due to excess supply before partially recovered in the second half of the year at the beginning of the peak of Tag -heat.
Most of the world’s energy coal is mined and consumed within the countries where it is made – only 10% fall into the international market.
The global demand for coal has grown in recent years, despite the refusal of some ecological -focused investors. Last year, the demand reached a new note due to the increase in consumption of power plants.
The largest coal exporters are Indonesia, Australia, South Africa and Colombia. They suffered mainly that the European countries were trying to leave the coal in the “green” course.
Keep in mind that China has begun to protect the domestic market from Russia’s coal, which is poured there after the introduction of the European embargo, and curbing companies that have fallen under US sanctions.
It is also reported that India’s imports of coal from Russia have been reduced. At the same time, deliveries grew from the United States.
Coal prices have crushed exports from Russia
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.