Chinese coal imports have attained a 6-month high total during Jul’19, driven by strong demand for electricity. Coal imports had jumped 21% on the month to 32.885 MnT in Jul’19, thereby overturning a decline seen last month.
On the other hand, continuing the rising trend y-o-y, imports in Jul’19 had increased 13% on the year from 29.01 MnT in Jul’18.
Higher electricity demand has spurred coal demand, but it’s worth noting that the gain in imports came even as customs officials halted or delayed cargo clearances at several ports.
Media reports have suggested that Chinese government has recently tightened coal imports in Inner Mongolia region by reducing the number of trucks that could enter at border check-point.
Given the large volumes of coal already imported in the year, it is unlikely that the government would uplift the restrictions imposed on coal imports in the near term.
During the first 7 months of CY19 (Jan-Jul’19), Chinese coal imports have totaled 187.47 MnT, up 7% Y-o-Y from 174.51 MnT noted in the same period last year.
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