China lifts unofficial ban on Australian coal

After more than two years of an unofficial ban, China began buying Australian coal this month, according to market sources and data from S&P Global Commodity Insights.

Share:

Gain full professional access to energynews.pro from 4.90$/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90$/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 $/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99$/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 $/year from the second year.

After an unofficial ban of more than two years, China began buying Australian coal this month, according to market sources and data from S&P Global Commodity Insights.

The end of the ban

Last month, S&P Global reported that three Chinese state-owned power plants -C hina Datang Corp, China Huaneng Group Co and China Energy Investment Corp. – as well as steel producer China Baowu Steel Group Corp. have received government guidance to import Australian coal.

S&P Global Commodities at Sea data shows that about 1.4 million tons of coal were loaded from Australia for China, split into about 14 shipments.

Traders were also able to obtain Australian coal this month

While it was expected that the ban would be relaxed on a miner-to-end-user basis and not for general trading purposes, many traders were also able to obtain Australian coal this month.

“As far as we know, not only the four Chinese companies, but traders have also inquired about Australian coal, which means there is room for them to execute trades,” said an Indonesia-based trader. “This should not impact Indonesian coal, because for low-carbon needs, China will have to look around in Asia.”

Demand for Indonesian coal has remained lackluster so far due to rising COVID-19 cases and the Lunar New Year vacation in China. FOB Kalimantan 4,200 GAR kcal/kg coal was last assessed at $67.50/ton on February 21.

Market participants expect China to start buying more coal from March onwards to build up stocks for summer demand and because of the expected increase in industrial activity after the lifting of containment measures.

Trade relations are being restored

“When trade resumes after a long hiatus, it takes some time to catch up, not to mention that China’s domestic consumption is also doing well. One thing is certain: trade relations between these two countries are on the road to recovery,” said a Southeast Asian miner.

The Platts evaluation

Platts, a subsidiary of S&P Global, valued Newcastle coal at 5,500 kcal/kg NAR with 23% ash at $118/ton FOB on February 21. Demand for high ash Newcastle coal declined in 2022 from India and Southeast Asia as buyers sought more price-competitive alternatives.

Queensland coal producers are struggling to rein in costs, which remain above pre-2022 levels as the impact of royalty hikes and margin pressures continues to weigh on the sector.
Coal will temporarily become the main source of electricity in the Midwest markets MISO and SPP during winter, according to the latest federal forecasts.
The Trump administration plans to open millions of federal hectares to coal and ease environmental rules governing this strategic industry.
The integration of private operators into South Africa’s rail network marks a turning point for coal exporters, with a target of 55 million tonnes exported in 2025 from the Richards Bay terminal.
Facing Western restrictions, Russia plans to increase coal deliveries to China, India and Turkey, according to a recent presentation on the sector’s outlook.
The visit of the Pakistani president to Shanghai Electric marks a new strategic phase in China-Pakistan energy cooperation, centred on the Thar mining and power project and local skills development.
Port congestion in Australia has boosted Russian and Indonesian coal exports to South Korea, with both now dominating the market due to lower prices and reliable delivery schedules.
Polish state-owned producer JSW confirms its 13.4 million tonnes production target for 2025 thanks to new equipment coming online, despite recent disruptions at multiple sites.
Russia and Indonesia overtook Australia as South Korea's top thermal coal suppliers in August, driven by lower prices and more reliable logistics amid persistent Australian shipment delays.
Uniper has demolished cooling tower F at its Scholven power plant, marking a new stage in the dismantling of the Gelsenkirchen coal site, where the energy company plans to build a hydrogen-ready gas-fired plant.
Underreported methane emissions from Australian mines could increase steelmakers’ carbon footprint by up to 15%, according to new analysis highlighting major gaps in global supply chains.
The new Russian railway line linking the Elga mine to the Sea of Okhotsk port will reach full capacity in 2026, after an operational testing phase scheduled for 2025.
The Romanian government is asking the European Union for a five-year delay on the closure of 2.6 gigawatts of coal capacity, citing delays in bringing gas and solar alternatives online.
President Gustavo Petro bans all coal exports to Israel, a decision with minor energy effects but strong diplomatic weight, illustrating his anti-Americanism and attempts to reshape Colombia’s domestic politics.
India’s coking coal imports are rising and increasingly split between the United States and Russia, while Australian producers redirect volumes to China; 2025 results confirm a shift in trade flows.
China approved 25 GW in H1 2025 and commissioned 21 GW; the annual total could exceed 80 GW. Proposals reached 75 GW and coal’s share fell to 51% in June, amid declining imports.
Valor Mining Credit Partners completes its first major financing with a secured loan to strengthen the operational capacity of a U.S. mining site.
Amid tensions on the Midwest power grid, Washington orders the continued operation of the J.H. Campbell plant to secure electricity supply over the coming months.
Peabody Energy abandons the acquisition of Anglo American’s Australian coal assets, triggering an arbitration process following the failure of a post-incident agreement at the Moranbah North mine.
Core Natural Resources announces USD220.2mn in operating cash flow for the second quarter of 2025, while revising its capital return strategy and increasing post-merger synergies.