Domestic Coal Market Prices in May

 In April, international coal prices rose rapidly. The domestic coal market in China generally exhibits the characteristics of "slight price increases, sufficient inventory, and stable supply and demand," with coal playing a significant role in providing a safety net.

 March is the traditional off-season for coal consumption, but since April this year, due to the situation in the Middle East, international coal prices have surged rapidly, with the four major international coal indices defying the trend and rising by up to 20%.

 From January to March, China's large-scale coal production reached 1.2 billion tons, a 0.1% increase year-on-year. In March, the long-term contract price of 5500-calorie thermal coal at Qinhuangdao Port was 682 yuan (RMB, same currency) per ton, an increase of 2 yuan/ton from February, stabilizing the basic supply of power coal nationwide. By the end of March, the spot price of 5500-calorie thermal coal at the ports around the Bohai Sea was 753 yuan/ton, an increase of 28 yuan/ton from the end of February, a 3.9% increase, which was more than 10 percentage points lower than the increase in international coal prices, effectively ensuring the stable supply of domestic energy security.

 It is reported that since April, the average daily coal production across the country has consistently remained at a high level of over 12.5 million tons. Data from April 23 shows that the coal reserves at nationally coordinated power plants reached 1.9 billion tons, enough to last for 32 days, which is at a historically high level.