As stated by Bloomberg analysts, the prices of bituminous coal and coking coal are expected to drop. Prices increased in 2017 because of the Chinese government’s decision to limit coal production domestically.
Bloomberg Intelligence (BI) foresees that the price of bituminous coal is expected to vary within to 65 to 75 USD per ton in 2018 as China continues to lower the price by 10 percent. BI also noted that the capacity of the ten top coal production companies in China, which make up 40 percent of its mining sector, will increase by 5.7 percent in 2018 and China's bituminous coal supply will rise by 2.8 percent.
Sixty percent of coal consumed in China is used for electricity generation. Researchers believe that renewable energy sector development will negatively impact the coal market.
Decreasing coal demand in 2018 is expected to have a negative effect on Mongolia, Indonesia, and Australia.
As stated by Bloomberg analysts, the prices of bituminous coal and coking coal are expected to drop. Prices increased in 2017 because of the Chinese government’s decision to limit coal production domestically.
Bloomberg Intelligence (BI) foresees that the price of bituminous coal is expected to vary within to 65 to 75 USD per ton in 2018 as China continues to lower the price by 10 percent. BI also noted that the capacity of the ten top coal production companies in China, which make up 40 percent of its mining sector, will increase by 5.7 percent in 2018 and China's bituminous coal supply will rise by 2.8 percent.
Sixty percent of coal consumed in China is used for electricity generation. Researchers believe that renewable energy sector development will negatively impact the coal market.
Decreasing coal demand in 2018 is expected to have a negative effect on Mongolia, Indonesia, and Australia.