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Tuesday, September 16, 2014
Coal Import limitation Can Hardly Reach the Goal of Output Restriction and Price Maintenance
ANBOUND

To help coal industry out of its predicament, relevant departments have already introduced several methods. "Coal import limitation" is regarded by the market as one of the important ways to help coal industry. ANBOUND research team is of the view that although central government requires decentralization and clarification between government and market, the administrative intervention of relevant departments still exists and is even increasing. The administrative intervention methods have even spread to power generation enterprises, requiring it to reduce coal import. Under the pressure of macro-economic slowdown, the weak demand will probably make the methods that only rely on coal import reduction to sustain and even raise coal price ineffective.

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