Mongolia Iron Ore Exports Down 3% in Q1 CY19

Mongolia iron ore exports fell 3% in Q1 CY19 to 2.07 MnT as against 2.13 MnT in Q4 CY18, as per data . On yearly basis, exports increased 43% compared to 1.45 MnT in Q1 CY18.

For the month of Mar’19, exports increased to 0.89 MnT, up significantly against 0.57 MnT in Feb’19. China is the only importer of Mongolian iron ore. The imports picked up in Mar’19 amidst global supply concerns.

Mongolian coal exports rises 94% M-o-M in Mar’19

Mongolia’s coal exports rose 94% on the month to 3.71 MnT in Mar’18 as against 1.91 MnT in Feb’19, according to the data provided by Mongolian customs. Landlocked Mongolia is heavily dependent on coal demand from China, its neighbor and buyer of more than 90% of its exports.

During the first quarter of CY19, Mongolian coal exports had benefited from an increased demand from China, after customs delays impeded its coal shipments from Australia.

It is pertinent to note that China has sharply reduced purchases of Australian coal after clearing times through customs had almost doubled since the beginning of CY19.

Consequently, rise in coal intake from China helped drive up Mongolia’s total coal exports to 7.73 MnT in the first quarter of CY19 (Jan’19-Mar’19) up 17% Y-o-Y from 6.61 MnT in the same period of last year.

Chinese Coal Imports:

China accounted for nearly 98% of the total coal intake from Mongolia in Q1 CY19 period. Chinese imports increased 18% Y-o-Y to 7.56 MnT in Q1 CY19 compared with 6.39 MnT in Q1 CY18.During Mar’19, Chinese import from Mongolia was noted at 3.62 MnT, up 96% M-o-M from 1.85 MnT in Feb’19. Remaining coal in the month was taken by Singapore and UK.