Import tariffs for coal will be cut to zero from 36
Limited impact on Indonesia coal and Australia imports
Tariff cuts could benefit Russian coal imports traders
BEIJING, April 28 Reuters China will cut import tariffs for all types of coal to zero from May 1, 2022, until March 31, 2023, the finance ministry said on Thursday, as Beijing strives to ensure energy security amid soaring global prices and supply disruption concerns.
Top Chinese officials, including President Xi Jinping, have repeatedly addressed the vital role of coal in China39;s energy mix despite climate pledges to gradually reduce coal use and to bring the country39;s carbon emissions to a peak by 2030.
Import tariffs for anthracite and coking coal, mainly used in steelmaking, will be cut to zero from the current 3, and rates for other kinds of coal will be down from 36.
China imported 323.33 million tonnes of coal in 2021, about 8 of its total coal consumption.
However, the removal of coal import tariffs is seen having little impact on China39;s coal purchases in 2022, as domestic output holds at record levels while seaborne prices have surged to historically highs. Some traders said the move could benefit its imports from Russia.
Australian thermal coal futures linked to benchmark Newcastle prices are hovering around 326 a tonne after touching as high as 440 a tonne in early March.
China39;s spot coal prices are around 1,200 yuan 181.61 a tonne, with termcontract prices capped by the government…