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BEIJING: China’s coal imports in the first two months of 2024 rose 23% from the corresponding period a year earlier, data showed on Thursday, rising to the highest level for the period.

Imports in January and February were 74.52 million metric tons, up from 60.63 million tons in the first two months of 2023, according to the General Administration of Customs.

China combines import data for the two months in a single release so as to smooth out the impact of the Lunar New Year holidays, which can fall in either month each year.

The January-February total was the highest on record for the period, defying analyst expectations that China’s big surge in imports in 2023 would start to ease this year.

China’s coal imports last year jumped 61.8% to a record of 474.42 million tons.

China’s 2023 coal imports from Australia rise, but below pre-ban era

December saw imports reach an all-time monthly high of 47.3 million tons. A record-breaking cold wave in many parts of the country drove higher demand, and buyers rushed to stock up before new import tariffs took effect in January.

In December, China’s cabinet restored coal import tariffs of 3% to 6% on nations that do not have two-way free trade pacts with Beijing, with effect from January 2024 and applying largely to key suppliers Mongolia and Russia.

But imports of Mongolian coal are still expected to rise as cross-border logistics improve.

Sweeping U.S. sanctions imposed on Russia in late February could also give Chinese traders pause in sourcing Russian coal in the future, analysts from industry group the China Coal Transportation and Distribution Association said.

The new measures target Russia’s future energy capabilities and specifically name major coal producer SUEK and steelmaker Mechel.

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