China thermal coal jumps 25% to 1,004 yuan a ton
China's thermal coal prices have shot up to their highest in three years, crossing 1,004 yuan a ton for the first time in two years, a jump of 25% since mid-July.
The main reasons? Local coal production has stalled and imports from Indonesia, a key supplier, have been disrupted.
Plus, ongoing global energy tensions (thanks to the U.S.-Iran conflict) are adding extra pressure.
China remains coal dependent amid shortages
Even with all the talk about renewables, coal still powers much of China.
But this year's deadly mine collapse in Shanxi province in May and approval of restart applications has lagged behind expectations mean there's less supply just as demand is rising, especially with winter coming up.
Indonesia has also moved to curb output to revive prices and boost state revenues, making things even tighter for China.
All these factors are keeping coal prices high and could impact energy costs across the board.