China purchases less Russian coal in 2024 regardless of record imports
China, the world's leading coal importer, bought less Russian coal in 2024 while increasing purchases from other crucial providers, led by Australia, throughout a. record year for coal imports, customs data revealed on Monday.
Purchases by China last year reached an all-time high of. 547.2 million tons, or a record 41% of worldwide traded coal,. according to LSEG research, offering China increased pricing power. in international markets.
Chinese demand is helping to support rates at levels that,. according to the International Energy Agency (IEA), are 50%. higher than the average during the 2017-19 duration.
In 2015, imports from top provider Indonesia ticked up 8%. to 236.99 million tons, although that lagged the 14.4% growth. overall in coal imports.
While Russia remained China's number-two coal provider it. was the only secret producer whose deliveries to China fell in 2024. Chinese imports from Russia slipped 7% from 2023 levels to 93.86. million heaps.
Experts at Galaxy Futures stated Russia's coal market deals with. higher production expenses than competitors, intensified by rail. capability issues that have actually risen freight rates for coal. Due to the fact that of the limited freight capability, the railway has actually chosen. to prioritise the transportation of higher-value goods over coal, the. analysts stated.
International coal rates likewise fell in 2024 from a year. earlier, making it harder for some Russian coal mines to turn a. earnings, and shipments were further weighed down by sanctions,. reinstated import tariffs by China, and domestic export tasks.
Australian exporters by contrast were the biggest. recipient of the record imports. Imports from Australia leapt. 59% on the year to 83.24 million loads, exceeding the level in. 2020, the last full year before China put an informal restriction on. imports of Australian coal.
China had actually imported 77.51 million lots of Australian coal in. 2020, then bought nearly none in 2021 and 2022. It raised the. constraints on coal in January 2023 amidst a warming of. Beijing-Canberra relations that likewise led to the resumption of. barley and wine trade.
Mongolian coal imports by China also increased 19% to 82.82. million lots because of improved cross-border facilities,. but it was narrowly surpassed by Australia and fell to 4th. place.
(source: Reuters)