Mongolia: Coal Exports Up 61% Y-o-Y in May’17

Mongolia is a sovereign state in East Asia, located between China to the south and Russia to the north. The country’s coal exports have drastically increased during 2017.

Coal exports have risen 61% Y-o-Y to 3.49 MnT in May’17, according to the customs data. The country had exported 2.17 MnT in May’16.

On the monthly basis, exports have marginally increased by 2% compared with 3.42 MnT in Apr’17.

However, total coal exported by Mongolia during the first five months of 2017 was nearly double the coal volume exported during the corresponding period of 2016.

Mongolia have exported 14.93 MnT coal during Jan’17-May’17 against 7.18 MnT coal exported during Jan’16-May’16, thus recording an increase of 108% on the year.

The surge in Mongolian coal exports could be attributed to the Chinese Government’s decision to ban coal imports from North Korea in Feb’17. China had suspended coal imports from North Korea as part of its effort to enact United Nations Security Council sanctions aimed to stop North Korea’s nuclear weapons and ballistic weapon program.

In order to compensate for the loss of coal on account of the ban, China had shifted towards its neighbouring country Mongolia to meet its coal requirements.

Major Coal Importers:
China is the major coal importer from Mongolia, which acquire nearly 98% of the coal from Mongolia.

After imposing coal ban from North Korea, China’s imports from Mongolia during Jan’17-May’17 has increased 104% Y-o-Y to 14.66 MnT, compared with 7.18 MnT during Jan’16-May’16.

UK, the second-largest coal importer, acquired the remaining quantity of 0.27 MnT during Jan’17-May’17.

Source: Customs
Quantity in MnT