China's coal production climbs in September, nearing new yearly high
Chinas coal output rose 4.4% in September compared to last year reaching 414.46 million tons. Analysts predict 2024 production will hit 4.68 billion tons‚ surpassing last years record as demand grows in power and industrial sectors
In September‚ Chinas coal production hit 414.46 million tons a 4.4% jump from the same month last year. This increase came after safety checks ended and coal-based chemical plants resumed operations. The output was higher than Augusts 396.55 million tons.
Galaxy Futures analysts said‚ “Coal production in September continued to rise benefiting mainly from an improvement in mine safety.“ Shanxi province‚ which makes up 29% of Chinas coal‚ saw fewer accidents in the first half of 2024. This let mines work more to meet growing demand.
Thermal power generation‚ mostly using coal went up 8.9% in September compared to last year reaching 545.1 billion kilowatt-hours (kWh). The industrial sector also used more coal.
For the first nine months of 2024‚ coal output was 3.48 billion tons – up 0.6% from 2023. Galaxy Futures thinks production will keep going up‚ with 2024s total reaching 4.68 billion tons. This would be about 0.5% more than 2023s record of 4.66 billion tons.
Coal production in September continued to rise benefiting mainly from an improvement in mine safety
The rise in coal use comes from more power generation and industrial growth. “Following the end of maintenance on some coal-based methanol urea‚ PVC and other chemical capacity‚ the capacity utilisation rate has gradually increased‚“ Galaxy Futures analysts explained
