Two of China’s most powerful energy lobbies are at loggerheads over a proposal to ban imports of low quality coal which, if implemented, could reshape the global coal trade.
At stake, claims the coal mining industry, are thousands of jobs and the future of one of China’s largest industries which has already seen at least 10 per cent of its coal mines shut down in the last year.
Responding to concerns within the industry, the National Energy Administration in May proposed to ban imports of low quality coal, which refers to coal with low heat value. Roughly one-fifth of China’s coal imports – or 50m tonnes per year – would be banned under the proposal, which has yet to be formally adopted.
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