China’s coal imports dropped in May from the previous month, Reuters calculations based on official data showed on Wednesday, as weak demand from power and steel sectors and high inventories led buyers to scale back shipments.
The world’s top coal consumer brought in about 39.52 million tonnes of the fossil fuel in May, up from a low base of 20.55 million tonnes in the year-ago period.
Still, the tally was down from the 40.68 million tonnes of coal shipped into the country in April.
The high inventory, sufficient for nearly 26 days of usage, gave less incentives for power plants to place new purchase orders, weighing on domestic coal prices and the economics of imported coal.
Source: Reuters (Reporting by Andrew Hayley in Beijing and Muyu Xu in Singapore; Editing by Jacqueline Wong and Sherry Jacob-Phillips)
Souce: Hellenic Shipping News Worldwide