China’s coal production hits record high in ’23

China’s coal production hit a record high in 2023, as a result of continued attention to energy security and increased demand following the relaxation of pandemic-related restrictions, Reuters reported on Wednesday.

According to the National Bureau of Statistics, the world’s largest producer of coal mined 4.66 billion metric tonnes of fuel last year, an increase of 2.9 per cent over the previous year.

Production in December was 414.31 million tonnes, up 1.9 per cent from the same month last year and almost unchanged from November’s 414 million tonnes.

The total monthly production fell short of November’s record-breaking daily average of 13.8 million tonnes, averaging 13.36 million tonnes.

In December, the nation’s total power generation—which is mostly produced by coal-fired plants—rose 8 per cent year on year.

In 2024, analysts anticipate a slight rise in coal production once again. After a push for energy security that resulted in an output ramp-up starting in 2021, the rate of growth has slowed over the past year.

Demand growth exceeded supply growth in 2023 as a result of “roughly flat, largely due to safety-related mining suspensions,” according to analysts at Macquarie.

The customs administration announced last week that as a result of consumers turning to imports due to rising prices and declining quality of local coal, China’s coal imports increased to a record high of 474.42 million tons in 2023.