India will overtake China as largest importer of coking coal by 2025; consumption to grow at 5.4% annually: Fitch

India will overtake China as the largest importer of coking coal by 2025, Fitch Solutions Macro Research said on Friday

Press Trust of India August 30, 2019 12:51:23 IST
India will overtake China as largest importer of coking coal by 2025; consumption to grow at 5.4% annually: Fitch
  • We forecast India's coking coal consumption to grow at an annual average rate of 5.4 percent between 2019 and 2028, driven by an equally robust expansion in steel production in the country, Fitch said

  • As a result, we expect India to overtake China as the largest importer of global coking coal by 2025, despite the country only importing half as much as China in 2017, it added

  • While China will remain dominant in terms of overall market share, India will become increasingly important in terms of seaborne demand, it said

New Delhi: India will overtake China as the largest importer of coking coal by 2025, Fitch Solutions Macro Research said on Friday.

"We forecast India's coking coal consumption to grow at an annual average rate of 5.4 percent between 2019 and 2028, driven by an equally robust expansion in steel production in the country," it said in a report.

"As a result, we expect India to overtake China as the largest importer of global coking coal by 2025, despite the country only importing half as much as China in 2017," it added.

India will overtake China as largest importer of coking coal by 2025 consumption to grow at 54 annually Fitch

Coal mining. Representational image. Reuters.

While China will remain dominant in terms of overall market share, India will become increasingly important in terms of seaborne demand, it said.

High-frequency indicators show that while the largest importer of Australian coking coal, India, saw a 25.8 percent year-on-year (YoY) increase in coking coal imports from Australia in the second quarter of 2019, China, the second-largest importer of Australian coking coal, decreased imports by 8.8 percent YoY in the same period.

In global terms, as China will continue to account for roughly two-thirds of global coking coal production and consumption over the coming years, trends in the country's mining and steel sectors will continue to exert a dominant influence on seaborne prices.

"Although taking a longer time than previously expected to play out, due to the ongoing risks to the economy and government efforts to stimulate domestic industries, our view remains that
steel production in China will stutter in the medium term with the slowing of the economy and construction sectors, dragging coking coal consumption lower," it added.

Updated Date:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

IPL 2020: Cricket Australia working in tandem with Rajasthan Royals on Steve Smith's return to action
First Cricket News

IPL 2020: Cricket Australia working in tandem with Rajasthan Royals on Steve Smith's return to action

CA said it is working in tandem with RR to ensure his smooth return to competitive action after missing the entire England ODI series due to the concussion suffered during training.

IPL 2020: BCCI receives request to reduce quarantine period for Australia, England players, says report
First Cricket News

IPL 2020: BCCI receives request to reduce quarantine period for Australia, England players, says report

Around 21 players, currently part of an England-Australia white-ball series, will be reaching Dubai on 17 September. They can only be available from 23 September, while IPL 2020 gets underway from 19 September.

England vs Australia: Shane Warne says loss in second ODI 'a real punch in the guts for visitors'
First Cricket News

England vs Australia: Shane Warne says loss in second ODI 'a real punch in the guts for visitors'

After England posted 231/9 on a surface on which runs were hard to come by, Australia made a good start before a dramatic collapse saw them slip from 144 for two in the run chase to be 207 all-out.