China Folds, Unloads Australian Coal Despite Import Ban Amid Power Crunch

China appears to have folded and unloaded Australian coal shipments despite an unofficial import ban, according to FT, citing multiple commodity analysts.

The move emphasizes China's dire need for coal supplies amid a power crunch with more than half of the country's provinces rationing power.

Nick Ristic, the lead dry cargo analyst at Braemar ACM Shipbroking, said an unspecified number of bulk carrier vessels with Australian coal has been waiting outside Chinese ports since Beijing slapped tariffs and blacklisted commodities from the country last year.

A more precise number of bulk carries is five, according to energy research company Kpler, who had the figure at 380,000 tons of Australian thermal coal were unloaded at Chinese ports last month.

We noted last year that dozens of giant bulk carriers loaded with Australian coal were anchored off several Chinese ports due to a diplomatic spat between Canberra and Beijing.

Last year, Beijing's Australian thermal coal ban proved to be a very misguided measure due to severe power rationings across the country ahead of winter.

Lara Dong, who heads Greater China power and renewables research at IHS Markit, said Beijing's move to allow five Australian shipments of coal to be processed isn't a sign of a broader policy reversal.
 

https://www.zerohedge.com/commodities/china-folds-unloads-australian-coal-despite-import-ban-amid-power-crunch