Japan: Coal Imports Up 11% M-o-M in Jul’18

Japanese coal imports have fell on the year, but recorded an month-on-month increase in Jul’18, as severe heat wave supported thermal power generation, and helped to partly offset the impact of rising nuclear output.

The country had recorded a total coal import of 16.37 MnT in Jul’18, down 5% Y-o-Y from 17.17 MnT in Jul’17, but was up 11% M-o-M from 14.74 MnT in Jun’18.

Increase in nuclear output has reduced coal demand on the year in Jul’18. Earlier in the year, Japan has restarted 4 reactors which have bought the country’s operational units to 9; thereby lifting nuclear availability by 47% Y-o-Y to 6.48 GW in Jul’18.However, the impact was softened by surging power demand amid soaring temperature.

Data from Japanese custom indicates that the country has imported 111.63 MnT during the first seven months of CY18 (Jan’18-Jul’18), down 3% Y-o-Y from 114.54 MnT in Jan’17-Jul’17.

Grade-wise Coal Imports:
Japan’s Non coking coal imports increased 20% M-o-M to 11.72 MnT in Jul’18, which was the only noticeable growth among the major coal grades.

Coking coal imports fell 6% M-o-M to 3.09 MnT in Jul’18 compared with 3.28 MnT in Jun’18. While Anthracite coal imports were down 9% on the month to 0.43 MnT in Jul’18.

Source: Japanese Customs
Quantity in MnT

Major Coal Exporters:
Australia remained the largest coal supplier to Japan in Jul’18. Australian coal exports rose 16% on the month to 9.45 MnT in Jul’18, but were 4% lower on the year compared with 9.8 MnT in Jul’17.

Indonesian coal exports also grew 29% M-o-M to 2.65 MnT in Jul’18, but were down 20% on the year from 3.3 MnT in Jul’17.

Exports from the third-largest coal supplier, Russia, had however increased both on the year and monthly basis, and were marked at 2.03 MnT in Jul’18.

Source: Japanese customs | Quantity in MnT