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Is it necessary to tighten the import of coal?

ECHEMI 2019-10-31

Carlyle

After more than half a month of downturn, the power coal futures finally ushered in a jump time, and the main factor behind it should be related to the news that the country has tightened the import of coal. According to the tracking research of today's think tanks, in the night of October 25, Zheng coal 2001, the main contract of power coal futures, finally jumped slightly, reaching 563.8 CNY/ton at the opening, and finally reported 564.4 CNY/ton. Although the price is 5 CNY/ton lower than the spot price, it is 11.2 CNY/ton higher than the low point of 553.2 CNY/ton two days ago, with an increase of more than 10 CNY/ton! And corresponding to the sharp increase of the futures price of power coal, it is the news that the import of coal is limited. One said that Fuzhou Customs received the information from the General Administration of customs, saying that the declaration of imported coal (tax No. 2701, 2702) of Fuzhou Customs was suspended from now on, and the port operation was normal. On the other hand, Guangzhou Customs has begun to tighten the import of coal. I believe there will be more clear news this week about whether these news are true and whether the country will further upgrade and tighten measures to import coal. However, the limited import of coal has had a real impact on the power coal futures market. If it is proved to be true, it will certainly play a pulling role in the spot price of power coal. As far as the attitude of think tanks today is concerned, we still hope that the country can tighten the import of coal, because at present, due to the impact of import of coal, not only has an impact on the domestic coal price, but also on the operation efficiency and revenue of domestic mining, road, port and shipping. At present, the inventory of ports around the Bohai Sea is high, and some ports have to take measures to dredge the ports, which is closely related to the large use of imported coal in coastal areas, resulting in the poor transportation of coal from the north to the south.

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