China is importing more coal from Australia and Russia as it looks for better-quality fuel. This is because the coal produced within China is becoming less efficient for their needs.
In the recent past, China imported a large quantity of coal from Australia and Russia. Specifically, Australia has been exporting thermal coal for power generation and coking coal for steel production. Last month, Chinese customs data revealed that these imports reached 6.69 million tons, marking the highest volume since July 2020.
This development represents a significant shift in China’s trade relations. Just a short while ago, there was a ban on Australian coal imports imposed by Beijing. This ban lasted from late 2020 until the beginning of this year. It was a result of strained political ties between the two countries.
China’s growing appetite for high-quality coal has prompted an increase in imports from Australia and Russia. This shift in preference is due to the declining quality of domestically mined coal.
Australia has seen a surge in its exports of thermal coal, used for power generation, and coking coal, used in steel production. Last month, Chinese customs data showed that these imports reached 6.69 million tons, the highest volume since July 2020.
This change in trade dynamics signifies a significant turnaround in the relationship between China and Australia. Not long ago, Beijing had imposed a ban on Australian coal imports, a move that lasted from late 2020 until the beginning of this year. This ban was a consequence of deteriorating political relations between the two nations.