All four of China’s major coal-price indices have stopped being updated after a concurrence of factors sent the price of coal surging in recent weeks – signalling that the government has stepped in to cool the overheated coal market, reported the South China Morning Post.
The factors said to be responsible for the soaring prices include China’s booming post-coronavirus industrial recovery, the annual sharp uptick in demand for coal to provide heat during the cold winter months, and an ongoing crackdown on Before the December 30 data freeze, CECI’s spot price for 5,500 kcal/kg thermal coal rose to RMB 751 (US$115.50) per tonne, and CCTD’s spot price for 5,500 kcal/kg thermal coal price surged to RMB 706 per tonne. Both prices were record highs for 2020.
The pricing freeze-outs by those two major benchmark indices in China’s coal market followed the pricing suspensions of two daily and weekly price indices by other companies in early December.
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