The price of thermal coal used to generate electricity in China surged to a fresh high on Oct. 13, adding more pressure on Beijing as it attempts to tackle an ongoing power crisis. More than half of the country has recently experienced power rationing, which has disrupted the daily lives of tens of millions of people, crippled industrial output, and wreaked havoc on global supply chains. As over two-thirds of the country’s electricity comes from burning coal, the power crunch brought on by coal shortage and surging costs has further pushed the coal price to rise. Thermal coal futures on the Zhengzhou Commodity Exchange reached a record high of 1,640 yuan ($254.44) per tonne in Wednesday trade, having surged almost three-fold year-to-date. The price jump comes after the country’s key coal mining regions were hit by torrential rain last week, adding further strain on the country’s tight coal supply. Shanxi, …
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