Global coal consumption has reached an all-time high in 2024, peaking at 8.77 billion tons, according to the latest report from the International Energy Agency (IEA). This increase is driven by the growing electricity demand, particularly in Asia. However, IEA projections indicate a stabilization of this consumption by 2027, thanks to the rapid development of renewable energy.
After a record year, global coal trade is also expected to hit unprecedented volumes, reaching 1.55 billion tons. Coal prices remain particularly high, exceeding the 2017-2019 averages by 50%, according to the IEA.
Asia, the central driver of demand
China remains the primary player in this trend, with one-third of the global coal consumption used in its power plants. Asia, as a whole, remains the hub of the international coal trade, hosting the largest importers such as China, India, Japan, South Korea, and Vietnam, alongside major exporters like Indonesia and Australia.
In emerging economies such as India, Indonesia, and Vietnam, demand continues to grow, fueled by economic and demographic expansion. Conversely, in advanced economies, where coal demand has already peaked, consumption continues to decline.
Renewable energy on the rise
According to Keisuke Sadamori, Director of Energy Markets and Security at the IEA, “The rapid deployment of clean energy technologies is transforming the global electricity sector,” which accounts for about two-thirds of total coal consumption. The integration of these new technologies plays a key role in stabilizing global coal demand.
However, uncertainties remain regarding short-term demand trends, particularly in China. Weather conditions, such as harsh winters, could impact consumption, with potential fluctuations of 140 million tons either upward or downward by 2027.
