China to keep coal exports at 80 million tons

Thursday, 08 July 2004 15:18:00 (GMT+3)   |  
       

China to keep coal exports at 80 million tons

China, which is the biggest coal exporter after Australia, plans to export at least 80 million tons of coal next year. An official of China National Coal Association pointed out that China targets to keep its coal exports at 80 million tons this year compared to 93 million tons exported in 2003. It is observed that China will not cut the total volume of coal exports further compared with this year as coal producers are obliged to fulfill agreements with clients in major coal-importing countries. South Africa and Australian coal prices reached almost record levels as China reduced supplies to meet domestic demand. The export restrictions of China raised costs for power companies such as Seoul-based Korea Electric Power Corp. Last month, this company accepted to pay record prices for thermal coal from China. Economic growth in China has caused power shortages and boosted demand for coal. This situation prompted government to curb credits for industries such as real estate, automotive and steel to prevent the brisk in investments.