China's boosting of its domestic thermal coal mining has raised hopes its unofficial restrictions on Australian imports may soon lift.
Chinese private power companies have started to buy contracts for Australian thermal coal,which could signal an end to China's import restrictions that have sent prices plummeting.
A Chinese coal industry official has criticised Australia for biting the hand that feeds at a coal conference in Beijing,a rare public acknowledgement that diplomatic tensions could be the cause of slowing trade.
It's high quality and the price is cheap,but the risk may be too great for buyers looking for a quick profit.
China is likely to significantly increase imports of American coal from West Virginia,Donald Trump’s heartland,if it strikes a trade deal next month.
With the Chinese government strictly controlling supply,Mongolian coal is also in the firing line,with a big shipment recently rejected.
The Australian government is searching for answers,but believe it has nothing to do with recent political tension over hacking and the 5G network.
Ongoing uncertainty around China's decision to restrict Australian coal entering the Port of Dalian has raised concerns that BHP,Glencore and Peabody Energy may have to scramble to find buyers for any unwanted coal.
It might just be that Chinese authorities want to give the local,dirtier,coal industry a leg-up in tough economic times.
Customs at China's northern port of Dalian has banned imports of Australian,an official at Dalian Port Group has told Reuters.