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China could curb coal imports to help domestic coal sector

World Coal,

China is expected to begin curbing shipments of coal – specifically targeting low-quality coal imports – as it moves to support its struggling domestic coal sector.

According to Reuters, China is responding to calls from Chinese coal miners, who are seeing widespread losses due to oversupply and anaemic demand for coal.

The China National Coal Association has sent a proposal to the government calling for low-quality coal with ash and sulphur content exceeding 15%and 0.6%, respectively, to be halted.

The National Development and Reform Commission (NDRC) and the National Energy Administration (NEA), which are key policy-setting organs of the Chinese government, have already signed off on the proposal, according to sources. It still awaits approval from China's State Council to be written as law.

Indonesia, South Africa and Australia are likely to be worst hit by any curb China introduces on coal imports. 

Edited from various sources by Sam Dodson

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