World coal loadings hit 5-Year High on anticipation of peak cooling demand

Coal loadings rose +7% YoY to a record 47.2Mt/wk last week, driven by China tightening gas allocation amid geopolitical risk and El Niño expectations, lifting coal demand and freight rates.

China is rationing natural gas toward higher value-added industry while curbing gas-fired power. Utilities are shifting to coal burn. This reflects supply security concerns and expected summer cooling demand.

Chinese buyers increased Indonesian procurement into Apr’26. Supply remains constrained. Indonesian miners cite capped quotas and uncertainty on H2’26 approvals.

A potential Super El Niño may intensify cooling demand across Asia in Q3’26.

Freight responded. Indonesia–China routes (P5, S10) reached 1-year highs, confirming firmer demand on the corridor. For further insights, contact [email protected].