US Coal Exports Down 9% Y-o-Y in Q1 CY19

US coal exports have fallen 9% on the year to 33.18 MnT during the first quarter of CY19 (Jan’19-Mar’19) compared with 35.24 MnT in Q1 CY18. Export volumes were also 6% lower from previous quarter’s total of 36.5 recorded for Oct’18-Dec’18 period.

During Q1 CY19, exports of all the major coal grades-coking, non-coking and pet coke, had witnessed y-o-y fall from Q1 CY18. Altogether these commodities accounts for 95% of the total export volume.

A gradual decline in export demand along with slow domestic coal consumption has in fact weighted down US production estimates for CY19.

US energy planner, EIA, has highlighted in its short term outlook that US coal output would reach 700 million short tons (MMst) in 2019, down 7% Y-o-Y from CY18.

US coal production in the first quarter of CY19 was 170 MMst, 22 MMst (12%) lower than the previous quarter and 17 MMst (9%) lower than production in the first quarter of CY18.

1 US Short Ton equals 0.907 Metric Tonne (MT)

Grade-wise Coal Exports:

US coking coal exports decreased 7% Y-o-Y to 12.58 MnT in the first quarter of CY19.

Pet coke exports were marked slightly lower on the year at 10.14 MnT in Q1 CY19 against 10.28 MnT in Q1 CY18. Exports of non-coking coal were down 6% Y-o-Y to 8.9 MnT in the first quarter.

Source: US Customs
Quantity in MnT

Major Coal Importers:

India was the largest coal receiver from the US. The country had imported 6.21 MnT coal in the first quarter of CY19, up 9% Y-o-Y from 5.72 MnT in Q1 CY18,  which was also 43% higher on Q-o-Q basis.

Japan emerged as the second-largest coal importer during the period with imports of 3.24 MnT coal, followed by Netherlands which had taken 3.09 MnT during the first quarter of CY19.

Notably, both these countries had posted a rise in imports on y-o-y basis from Q1 CY19, but fall from the previous quarter period of Q4 CY18.

Brazil, Mexico South Korea and Morocco were among the other noticeable coal importer in the Q1 CY19 period.